As global mining M&A activity quietly accelerates amid rising risk aversion, Jiangxi Copper Co. (JCC) has launched a decisive third bid for Ecuador-focused copper-gold miner SolGold, underscoring intensifying competition for tier-one copper assets. On December 12, the long-running cross-border takeover reached a critical juncture as Jiangxi Copper lifted its all-cash offer to 28 pence per share, valuing SolGold at £842 million (approximately USD 1.13 billion)—a 7.7% premium to the proposal rejected last month. The bid ranks among the largest overseas copper-gold acquisitions ever attempted by a Chinese mining company.
Strategic Urgency Behind the Third Bid
This marks Jiangxi Copper’s third revision to its acquisition proposal this year. Since disclosing its initial approach on November 28, the company has moved swiftly—from exploratory talks, to a rejected 26 pence-per-share bid, and now to an increased offer signaling strong determination to secure the asset.
Industry analysts attribute this urgency to escalating global competition for copper resources. Copper prices have risen 12% year-to-date, while gold has surged to a record USD 2,800 per ounce amid heightened geopolitical risks. Against this backdrop, SolGold—offering exposure to both copper and gold—has emerged as a scarce and highly attractive target.
SolGold’s flagship Cascabel project in Ecuador hosts over 18 million tonnes of copper resources and more than 1,200 tonnes of gold, with an estimated in-situ value exceeding USD 50 billion. Crucially, the project boasts an average copper grade of 0.87%, well above the global average of around 0.6%, with roughly 80% of resources suitable for open-pit mining, providing a clear cost advantage.
For Jiangxi Copper—whose annual copper output exceeds 1.6 million tonnes, yet whose self-sufficiency in mine supply remains below 60%—Cascabel represents a strategically significant resource anchor.
Board Signals Shift as Market Reaction Turns Cautious
SolGold’s board response to the revised offer has softened noticeably. In a statement, the company said that if a firm offer is made, the board would be inclined to recommend shareholders accept, a marked change from its earlier outright rejection.
However, market sentiment remains mixed. While SolGold shares have gained nearly 8% since takeover talks emerged, the stock fell more than 5% following the latest price increase, reflecting lingering uncertainty over deal completion.
“Share price volatility reflects a dual expectation,” said a mining analyst at an international investment bank. “Investors are weighing the possibility of a higher bid against the downside risk should the transaction collapse.”
SolGold’s shareholder structure adds to the uncertainty. Major investors—including Newcrest Mining (14.5%) and RBC Global Asset Management (9.8%)—have yet to publicly declare their positions, while retail investors remain cautious amid information asymmetry.
China’s Growing Role in Global Mining Consolidation
Jiangxi Copper’s aggressive pursuit comes amid the most active global mining consolidation cycle in a decade. According to S&P Global, global mining deal value has already exceeded USD 120 billion in 2025, with copper and gold assets accounting for more than 60% of total transactions.
From BHP’s acquisition of Oz Minerals to Zijin Mining’s overseas expansion, leading miners are racing to secure long-life, high-quality resources. Jiangxi Copper’s bid reflects both this global trend and China’s broader “going global” resource strategy.
“China accounts for over 50% of global copper demand, yet its resource self-sufficiency is below 30%. Overseas acquisitions are inevitable,” said an expert from the China Nonferrous Metals Industry Association. A successful acquisition would propel Jiangxi Copper into the top five globally by copper reserves, while Cascabel’s gold output would provide a natural hedge against copper price volatility.
Decision Looms in 2026
Despite the softened board stance, key hurdles remain. Jiangxi Copper must submit a binding formal offer by January 12, 2026, and secure approval from more than 50% of SolGold shareholders. Additional uncertainties include regulatory approvals from the Ecuadorian government, potential environmental opposition, and Jiangxi Copper’s financing structure, which combines cash and debt.
“This is not merely a commercial transaction—it is a complex contest involving geopolitics, capital strategy and long-term resource security,” the analyst noted.
Regardless of the outcome, Jiangxi Copper’s high-stakes bid underscores the intensifying global scramble for copper assets and marks a significant chapter in China’s mining globalization drive.
Source： Changjiang Nonferrous Metals Network