News: Chinese mining company MMG has stated that it will consider working with other companies on acquisition projects as it seeks to expand its portfolio, Mineweb reports. The company declined to comment on reports that it is interested in acquiring the Las Bambas copper project from Swiss mining company GlencoreXstrata but did confirm that Peru meets with its strategic criteria. Analysts have stated that the company may now acquire the project with another Chinese firm.
BMI View: The changes and reforms enacted in 2012 will continue over the course of 2013 with smaller and less efficient mines being closed, while mid-sized miners will be merged and production consolidated into giant vertically integrated state-owned outfits. Overall, we forecast China's mining industry value to increase from approximately US$340bn in 2012 to US$432bn by 2017, marking a healthy growth rate of 4.9% per annum.