英语新闻 英语考试 留学英语 TEM英语 CET英语 BEC英语 托福英语 雅思英语 英语作文 英语故事 英语笑话 娱乐英语 行业英语 英语学习 生活英语
工作英语 奥运英语 法律英语 英语口语 英文阅读 写作翻译 词汇语法 专四八级 四级六级 考研英语 职称英语 疯狂英语 英文简历 奥运知识 名人演说
您现在的位置: 3edu教育网 >> 英语角 >> 英语新闻 >> 经济Business >> 正文    3edu教育网,百万资源,完全免费,无需注册,天天更新!

Chinese miners eye expansion in new regions

Chinese miners eye expansion in new regions

分类:经济Business   更新:2010/4/10   来源:网络

Chinese miners eye expansion in new regions

Chinese mining companies, while continuing to invest in Australia and Canada, will eye more mining opportunities in Africa, Central Asia and Russia in 2010, as they face more challenges in acquiring high-yield mines worldwide, according to an Ernst & Young report Thursday.

As commodity prices rally in a quicker than expected recovery, Australian and Canadian mining companies have withstood the test of financial difficulties and are not pressed to sell their assets for cash, said Eleanor Wu, transaction adviser at Ernst & Young.

"In the meantime, more buyers will compete with Chinese companies for quality assets in low-risk countries like Australia and Canada. Therefore, many of our customers showed interest in higher-risk investment destinations including Africa, Central Asia and Russia," said Wu.

Africa, Central Asia and Russia are attractive to Chinese investors because they are more likely to acquire a controlling stake in those countries.

But infrastructure in those countries is not well-established. Costs and risks are increased accordingly.

To hedge the risks and build infrastructure like ports and railways, Chinese miners might invite international investors and domestic contractors to be their business partners for mining projects in developing countries.

"Chinese buyers gradually realized that they cannot always take a majority stake, so there will be more cases but on a smaller scale," said Raymond Ng, assurance partner at Ernst & Young. "However, there is still a possibility to reach mega deals larger than $1 billion."

The report forecasts mergers and acquisitions in the mining sector would increase steadily in 2010, with mega deals remaining scarce.

As continued demand from China and India fuels a rapid economic recovery, the financial conditions of mining companies are largely improved. Borrowing will return to historic averages of 20 to 30 percent, compared with an average of 50 percent during the crisis period.

According to the report, cash-rich Chinese state-owned enterprises and massive sovereign wealth fund China Investment Corp have played leading roles in outbound deals for resource security concerns. In the meantime, a new breed of Chinese investors from the private sector will play a more active role in 2010, motivated by extensive technical due diligence and short term yields.

Source: China Daily

| 设为首页 | 加入收藏 | 联系我们 | 版权申明 | 隐私策略 | 关于我们 | 手机3edu | 返回顶部 |