China’s leading gold and copper producer, Zijin Mining, announced on Monday that it has agreed to acquire Kazakhstan’s Raygorodok Gold Mine in a $1.2 billion transaction, marking one of the largest foreign investments in the Central Asian country's mining sector.

The acquisition will be executed through Zijin’s international arm, Zijin Gold International, and its subsidiary Jinha Mining. The deal involves the purchase of RG Gold LLP and RG Processing LLP, the Kazakh companies that own and operate the Raygorodok mine and its associated processing facilities.

In a statement, Zijin said the transaction includes all mine assets held by RG Gold and processing infrastructure managed by RG Processing. The company noted that the deal strengthens its overseas gold portfolio at a time when global gold prices remain elevated amid persistent U.S.-China trade tensions and broader geopolitical uncertainty.

The strategic move comes as Zijin prepares to spin off Zijin Gold International and pursue a public listing on the Hong Kong Stock Exchange, part of a broader reorganization of its international gold holdings announced earlier this year.

Located in northern Kazakhstan, the Raygorodok mine is one of the largest gold operations in the country and a key asset in Kazakhstan’s growing mining sector. The acquisition is expected to bolster Zijin’s global gold production capacity and expand its footprint in Central Asia—a region increasingly viewed as critical for diversifying resource supply chains.

Kazakhstan, rich in mineral resources, has welcomed foreign investment in its extractive industries, and Chinese firms have steadily increased their presence through energy and mining deals over the past decade.

Zijin’s latest purchase underscores China’s continued efforts to secure critical raw materials and expand its influence in global mining, particularly as gold prices hold above $3,200 per ounce and investors continue to favour the precious metal as a hedge against geopolitical and economic risk.

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