According to one mining government, the latest mega-mergers amongst essential gold producers have helped entice investor interest to the sector, but more nevertheless needs to be finished to attract an awful lot wished capital.
In a recent interview with Kitco News, Ioannis Tsitos, president of Goldsource Mines (TSX.V: GXS), sees more merger and acquisition activity inside the mining space in the long term. He brought that the gold space is the manner at the back of different commodities sectors to consolidate assets and tasks. The gold enterprise may be very fragmented with other interests.
Without searching at special deals, consolidation could be healthy for the enterprise,” he stated. “For more miniature gamers, like Goldsource, this is only desirable news due to the fact there can be corporations in this area inquisitive about constructing up their sources so that they which could compete on the level of some of the essential manufacturers.
Tsitos’ comments come as Newmont Mining clears most of its foremost hurdles to merge with Goldcorp to emerge as the world’s largest gold producer. Earlier this week, Newmont received popularity of the merger from its shareholders, following the approval from Goldcorp traders the previous week.