LionGold has signed an MoU with CBMI Construction Co, a wholly-owned subsidiary of China’s State-owned SINOMA Group Corporation Ltd and a leading integrated engineering contractor for projects around the world. The MOU is the first step for LionGold to appoint CBMI as its primary contractor for the Group’s gold mining projects globally.
Under the agreement, CBMI would work in partnership with LionGold in project and related infrastructure development, mine operation and maintenance and procurement of supplies. The agreement will also provide a platform for collaboration on new gold investment opportunities as well as project financing.
Group Chief Executive Officer Nicholas Ng states, “LionGold is excited about this newly forged relationship. We are confident that CBMI Construction will be a capable partner, able to respond quickly to the technical and operational needs of our growing projects world-wide. In addition to its own excellent track record overseas, CBMI’s parent, SINOMA Group, is among China’s leading state-owned enterprises. This important alliance will leverage LionGold’s current operations and corporate development teams, enabling us to fast-track the build-out of our gold business.”
Earlier this month, the Group announced plans to raise more than Sin$200 million through the placement of new shares and warrants in support of its acquisition and production enhancement strategy. Management is targeting the completion of the fund-raising exercise by the end of the 2013. LionGold has interests in seven gold companies with tenements in Australia, Ghana, Bolivia and Canada.
China National Materials Group Corporation (SINOMA) is a Chinese state-owned enterprise with substantial industrial engineering and contracting operations across China as well as in North America, Europe, Japan, the Middle East and Africa.
CBMI Construction Co (CBMI) is a private company held by SINOMA. Domestic activities are headquartered in Tangshan City, Heibei Province, with overseas operations administered through its branch in the Beijing Economic and Technological Development Zone. CBMI has over 50 years of experience in engineering consultancy, design, construction, equipment manufacturing, system integration, supply, operations and maintenance. Initially established in the local cement industry, the scope of industrial engineering and contracting capabilities has been significantly broadened, now including the mining and infrastructure sectors.