Proactiveinvestors recommends
Additional Information
Market: TSX NYSE
Sector: Gold Mining
EPIC: ELD
Latest Price: 14.17  (-1.60% Descending)
52-week High: 21.50
52-week Low: 13.20
Market Cap: 7,803.79M
1 year chart
digital-look imported chart image
1 day chart
digital-look imported chart image
Eldorado Gold
www.eldoradogold.com

Eldorado Gold Corporation is a gold mining company actively growing businesses in Brazil, China, Turkey, Greece, and surrounding regions. Eldorado Gold is one of the lowest cost pure gold producers, and anticipates production of 700,000 ounces of gold per annum by 2013.

Full Eldorado Gold profile here
Pdf

Gold Fields sells 19.9 pct Sino Gold stake to Eldorado for US$282 mln

3rd Jun 2009, 1:28 pm
Gold Fields sells 19.9 pct Sino Gold stake to Eldorado for US$282 mln
Gold Fields Ltd (JSE, NYSE, NASDAQ Dubai: GFI) said it is selling its 19.9 percent stake in Sino Gold Mining Ltd (ASX: SGX) to Eldorado Gold Corp (TSX: ELD) for US$282 million, based on Eldorado’s closing price yesterday.

Gold Fields will receive 48 Eldorado shares for every 100 Sino Gold shares, which will result in Gold Fields holding 27,824,654 Eldorado shares or approximately 7 percent of the outstanding capital.

In addition, Gold Fields will hold a top-up right for a period of 18 months, which will apply should Eldorado purchase an additional 5 percent or more of the outstanding shares of Sino Gold at a more beneficial share exchange ratio than that agreed with Eldorado for today’s deal.

Nick Holland, chief executive officer of Gold Fields, said: "After having received several expressions of interest for our stake in Sino Gold, we believe that this transaction is the most value creating for our shareholders because it has enabled us to crystallise the value of our investment while retaining exposure to China as a potential area for the future.”

"We have definitely not changed course and our aspiration to grow production in each of our three international regions, West Africa, South America and Australasia, to at least 1 million ounces per annum, within a three to five year time horizon, remains intact,” he added.

Gold Fields will retain some exploration joint ventures with Sino over the Jinshu project and other nominated properties in China.

The transaction is expected to close at the end of August 2009.

Eldorado president and CEO Paul N. Wright commented: "Eldorado and Sino Gold both have a history of success in China and have become the two largest foreign gold producers in China. We view this stake in Sino Gold as an excellent opportunity to enhance our investment in China. Eldorado will continue to grow in a disciplined and focused manner and we are pleased to have Gold Fields back as a shareholder.”

No investment advice

The Company is a publisher and is not registered with or authorised by the Financial Services Authority (FSA). You understand and agree that no content published on the Site constitutes a recommendation that any particular security, portfolio of securities, transaction, or investment strategy is suitable or advisable for any specific person. You further understand that none of the information providers or their affiliates will advise you personally concerning the nature, potential, advisability, value or suitability of any particular security, portfolio of securities, transaction, investment strategy, or other matter.

You understand that the Site may contain opinions from time to time with regard to securities mentioned in other products, including company related products, and that those opinions may be different from those obtained by using another product related to the Company. You understand and agree that contributors may write about securities in which they or their firms have a position, and that they may trade such securities for their own account. In cases where the position is held at the time of publication and such position is known to the Company, appropriate disclosure is made. However, you understand and agree that at the time of any transaction that you make, one or more contributors may have a position in the securities written about. You understand that price and other data is supplied by sources believed to be reliable, that the calculations herein are made using such data, and that neither such data nor such calculations are guaranteed by these sources, the Company, the information providers or any other person or entity, and may not be complete or accurate.

From time to time, reference may be made in our marketing materials to prior articles and opinions we have published. These references may be selective, may reference only a portion of an article or recommendation, and are likely not to be current. As markets change continuously, previously published information and data may not be current and should not be relied upon.