After the Denver Gold Forum in September, mergers and acquisitions in the gold mining space is finally picking up especially in the last month. However, all assets are not being acquired for big premiums. Some are being acquired for no premium at all.
Mid-tier primary gold miners with good free cash flow margins and good balance sheets are being aggressive either buying "non-core" assets from Barrick Gold and Newmont Goldcorp or trying to buy development assets from juniors for no premium.
With more assets from juniors gold to larger (and better) counter parties, this will also benefit all precious metals royalty and streaming companies.
Jason Burack is an investor, entrepreneur, financial historian, Austrian School economist, and contrarian. Jason co-founded the startup financial education company Wall St for Main St, LLC, to try to help the people of Main Street by teaching them the knowledge, skills, research methods, and investing expertise of Wall Street. You can also find Jason's work at his blog website at www.jasonburack.com.