Verny Capital Completes Sale of RG Gold to Zijin Mining Group

In a significant development within the mining sector, Verny Capital Group has officially signed an agreement to sell RG Gold, a gold mining company it has managed since 2014. Over the years, Verny Capital has made considerable investments in the development of RG Gold, enhancing its production capabilities while ensuring operational efficiency and safety.

The decision to sell RG Gold comes after a decade of strategic partnerships and substantial upgrades to the company’s infrastructure. Under Verny Capital’s management, RG Gold has transformed into one of the leading gold producers in Kazakhstan, increasing its resource base to an impressive 7.6 million ounces according to the JORC standard. This accomplishment is attributed in part to the ongoing collaboration with Resource Capital Funds (RCF), Verny Capital’s strategic partner since 2018.

RCF has contributed to upgrades in production technology and infrastructure improvements, thus boosting RG Gold's operational efficiency. Emphasizing a commitment to sustainability and innovative practices, Verny Capital has positioned RG Gold to thrive in a competitive market.

The agreement was finalized with Zijin Gold International, a subsidiary of Zijin Mining Group, which is recognized as one of the largest mining corporations globally specializing in gold and non-ferrous metals. Zijin Mining Group boasts a market capitalization of approximately $70 billion and operates over 30 projects across 17 countries. Their focus on sustainable growth aligns with Verny Capital’s vision for RG Gold, ensuring the company continues to contribute positively to the economy of Kazakhstan.

Aidan Akanov, CEO of Verny Capital Group, stated, “We have successfully transformed RG Gold from a modest operation to one of the country’s major gold producers. It is time to pass the baton to an established international player with a proven track record in asset management.” He expressed confidence in Kazakhstan's potential for future high-performance projects and announced that Verny Capital is actively seeking new investment opportunities.

Following its advancements, RG Gold has now launched a $424 million gold processing plant, which substantially increases its production capacity. This project represents Verny Capital’s commitment to fostering successful partnerships to enhance economic viability in Kazakhstan.

Martin Valdes, a partner at RCF, expressed pride in the growth achieved during their tenure, highlighting the substantial contribution RG Gold has made to Kazakhstan's economy. With over 160 billion tenge contributed to the state budget and approximately 1,200 jobs created, RG Gold has not only established itself as a leader in gold production but also a key player in social development projects that support local communities, improve infrastructure, and elevate living standards in the region.

The transaction marks an exciting new chapter for both Verny Capital and Zijin Mining Group, as RG Gold embarks on the next phase of its development under the stewardship of a leading global mining entity. The collaboration is poised to leverage international expertise while facilitating Kazakhstan’s continued emergence as an attractive destination for mining investments and a reliable partner for global companies.

Moving forward, both companies are enthusiastic about the potential for RG Gold to play a pivotal role in promoting sustainable mining practices while driving economic growth in Kazakhstan for years to come.