HK Stock Market Move | TONGGUAN GOLD(00340) rises over 7% again, the company adds 26 tons of gold resources. It had previously signed a gold streaming agreement with ZIJIN MINING.

TONGGUAN GOLD (00340) rises by more than 7%, as of press time, up 5.24% at HK$3.01, with a turnover of HK$79.7945 million. On the news side, on October 10, TONGGUAN GOLD disclosed details of the acquisition of the Subei Mining District. TONGGUAN GOLD acquired 100% equity of Rongchang Investment Limited, adding 26 tons of gold resources. The total resource increased from 55 tons to 81 tons, a 47% increase, marking a new level for the company's resource reserves. It is worth noting that in April of this year, TONGGUAN GOLD signed a gold streaming agreement with ZIJIN MINING. Zijin prepaid $25 million in cash as initial funding support, with the company committing to deliver approximately 422 kilograms of gold from the Subei Northeast Mining for the next 9 years. Guosen pointed out that TONGGUAN GOLD is a small and beautiful regional gold mining enterprise. The company's future strategic goal is to increase research on ore-forming regularities in regions such as Gansu and Tongguan, actively integrate; and achieve growth through M&A. The bank pointed out that the company's strategic cooperation with Zijin Mining, while locking in part of the production revenue, also introduced $25 million in initial funding, with lower dilution compared to equity financing, and enhanced funding availability and stability through the binding relationship with Zijin Mining for project development.