Cornerstone Investment invests in Hong Kong-listed gold mining newcomer Zhaojin Mining (01818), highlighting its unique industrial capital identity.

Due to the international gold price reaching historical highs this year, the Zijin Mining Group (02899,601899.SH) attracted more attention to the matter of spinning off its high-growth gold enterprise, Zijin Gold International, for listing on the Hong Kong Stock Exchange. The Zijin Gold International IPO attracted 29 cornerstone investors who collectively subscribed to $1.6 billion worth of shares. Interestingly, among the prestigious cornerstone lineup were investors such as the Singapore government investment company GIC, Hillhouse, BlackRock Group, Schroders Global Group, Gaoyi Asset, and ZHAOJIN MINING's wholly-owned subsidiary Spaico, which subscribed 3.2655 million shares in this IPO, accounting for 0.94% of the total shares issued. As a leading enterprise in the gold industry, ZHAOJIN MINING has a deep connection with the global resources giant Zijin Mining Group. By the end of 2022, Zijin Mining Group acquired a 20% stake in ZHAOJIN MINING from Fosun for 4.06 billion yuan, becoming the second-largest shareholder. As of the end of June 2025, Zijin Mining Group held an 18.2% equity stake in ZHAOJIN MINING through Jinshan International. Additionally, after Zijin Mining Group's acquisition, ZHAOJIN MINING's management team brought in four executives from Zijin Mining Group, forming a deep cooperative development relationship between the two industry leaders. Furthermore, ZHAOJIN MINING and Zijin Mining Group are jointly accelerating the development and operation of the largest single gold mine and the first offshore gold mine in China. From the equity structure, ZHAOJIN MINING and Zijin Mining Group respectively hold 70% and 30% equity in the offshore gold mine. Since its construction, the offshore gold mine project has achieved breakthroughs at several key milestones, with the mine expected to reach production by the end of 2027. Upon full production in the future, the offshore gold mine is expected to produce over 15 tons of gold annually. Looking back, ZHAOJIN MINING's cornerstone investment in Zijin Gold International as the sole industrial capital can be seen as a move to further deepen its strategic cooperation with Zijin Mining Group. Equally important, ZHAOJIN MINING's strategic investment is expected to bring long-term returns for itself and its shareholders. It is understood that Zijin Gold G-RESOURCES is a leading global gold mining enterprise created through the integration of all gold mines outside of China owned by Zijin Mining Group. By the end of 2024, Zijin Gold International ranked ninth in gold reserves and eleventh in gold production globally. From 2022 to 2024, the net profit attributable to Zijin Gold International grew at a compound annual growth rate of 61.9%, demonstrating high growth potential. It can be foreseen that as a long-term cornerstone investor, ZHAOJIN MINING is expected to enjoy the dividends from the long-term development of Zijin Gold International.