Australia's Sino Gold, which is in the vanguard of western gold miners' drive to gain a foothold in China, has agreed to be acquired by Eldorado Gold of Vancouver in a C$2bn (US$1.8bn) all-share deal.
Paul Wright, Eldorado chief executive, described the acquisition as the culmination of a five-year drive to expand in China, drawing on lessons Eldorado has learned from its operations in Turkey.
The combined company would be “the unequivocal leader among international gold producers in China, the world's largest gold producing country”, Eldorado said.
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