Story
Zijin Longking Shares Rise on $232 Million South American Renewable Energy Investment
Shares of Zijin Longking (SSE: 600388) climbed 1.9% to 17.55 yuan on Thursday, outperforming a weaker Chinese market after the company announced a significant investment in overseas renewable energy projects.
The gains followed a disclosure that the company's board had approved plans to invest approximately $232 million in solar and battery storage facilities at gold mining sites in South America.
Overseas Energy Expansion
The projects will be developed by Zijin Longking Clean Energy, a wholly-owned subsidiary, and funded entirely through the company's internal resources. The investments are aimed at reducing the mines' reliance on diesel-powered electricity generation.
Key details of the approved projects include:
- Suriname: A phase II solar-storage facility at the Rosebel gold mine with a total investment of roughly $150 million. This project will feature 170 megawatts peak (MWp) of solar capacity combined with a 120 megawatt-hour (MWh) energy storage system.
- Guyana: Two separate projects at the Aurora gold mine, one for the processing plant ($55 million) and another for the underground facility ($27 million). Both are expected to be completed by the fourth quarter of 2027.
AdStrategic Rationale and Financial Health
These investments align with Zijin Longking's dual-segment business model, which combines environmental protection equipment with new energy solutions. The move also supports Suriname's national push for a green energy transition in its industrial sector.
The company's ability to self-fund the expansion is supported by strong recent performance. For the first half of 2026, Zijin Longking reported year-on-year revenue growth of nearly 15% and net profit growth of approximately 25%.
Market Reaction
The positive investor response to the announcement contrasted with the broader market trend on Thursday. Zijin Longking's share price increase occurred while major Chinese benchmarks, including the CSI 300 and the SSE Composite Index, were both trading in negative territory, highlighting the market's specific approval of the company's strategic move.
Read next
More on Stocks
FTC Orders Walmart, Uber, Delta to Disclose Data on Personalized Pricing
The U.S. Federal Trade Commission is demanding nine major companies, including leading retail, travel, and gig economy firms, to provide information on how they use consumer data for setting individual prices and wages.
Google Launches Gemini 4 Carbon AI Model to Bolster Cybersecurity Capabilities
Alphabet's Google has unveiled Gemini 4 Carbon, its latest AI model specifically designed for advanced cybersecurity tasks like vulnerability detection and secure code generation. The launch escalates competition with rivals OpenAI and Anthropic in the enterprise AI market.
Oracle Shares Surge After Unveiling $225 Billion Revenue Target for 2030
Oracle stock rose sharply after the company presented a long-term financial outlook targeting at least $225 billion in annual revenue by fiscal 2030, driven by its expanding AI infrastructure business.
DOJ Scrutinizes Nvidia's $12.9B Hugging Face Deal Amid Broader Antitrust Probe, Sources Say
The U.S. Department of Justice is reportedly examining Nvidia's planned $12.93 billion acquisition of AI platform Hugging Face as part of a wider, ongoing antitrust investigation into the chipmaker's market conduct.