Chinese state-owned and privately held metals companies are actively seeking acquisition and financing deals with Australia’s small and medium-capped miners of base metals and iron ore, Reuters reports
Fears Chinese investment in Australian mining operations may have been threatened by the collapse of the Rio Tinto-Chinalco deal are unfounded, DJ Carmichael analysts James Wilson said.
“There are still a few deals on the cards, particularly in steel related products,” Wilson said.
Wilson said that investment remains likely because the relationship between China and Australia is very closely tied to the financial success of both countries.
“It is a symbiotic relationship these days,” he said.
“You can not shut the door on these guys because they are related to the long-term health of the mining industry here.”