A wave of Chinese gold miners is pushing to raise funds in Hong Kong, seeking to capitalise on rising investor interest in the metal during a record-setting rally that’s made it a standout commodity performer.

This year, producers including Chifeng Jilong Gold Mining have sold shares in the financial hub to raise more than $700-million, according to data compiled by Bloomberg. The expected listing of a unit of Zijin Mining Group, China’s biggest gold miner, could raise more than $1-billion in the coming months, while a unit of Shandong Gold Mining could bring in more than $500-million, according people familiar with the situation. They asked not to be named as the plans are not public.

All of this could lift miners’ equity sales in 2025 to the highest in a decade.

Gold has roared higher this year, climbing by more than a quarter and setting a record above $3 500 an ounce in April. The upswing — powered by strong central-bank buying and investors seeking a haven amid the global trade war — has delivered a boom for producers, lifting metal prices far above costs of production, and spurring executives’ interest in acquisitions.

China lives at the heart of the global physical gold market, as it’s the largest producer as well as consumer of the precious metal. In addition, the People’s Bank of China — the nation’s central bank — has been at the forefront of so-called official-sector buying, boosting holdings over the seven months to May.

The uptick in gold producers tapping Hong Kong’s capital market is also part of what’s shaping up as a continued recovery for the local exchange, where the benchmark Hang Seng Index has surged by a fifth. Overall proceeds from listings and additional share sales in the first half reached more than $33-billion.

“With gold prices so high and margins so good, it is far easier for miners to raise funds,” said Samson Li, a researcher at Commodity Discovery Fund, which invests in exploration companies. “Having their cash in Hong Kong, instead of mainland China, allows them to pay for deals quickly,” said Li.

Chinese gold miners are battling declining ore quality at home, a predicament which has boosted their interest in adding overseas assets to expand reserves, grow production, and tap investor interest in the metal’s headline—making rally. At the same time, the central government has also been encouraging outward investments to strengthen the country’s access to key mineral resources.

CASH IS KING

“Chinese miners still need to raise funds to acquire assets, and to maintain their debt level, as they can only acquire assets in cash,” said Commodity Discovery’s Li, adding that it’s often challenging for these buyers to secure coveted acquisitions with stock.

Meanwhile, there’s a pool of non-Chinese producers that have been willing to sell, usually to take advantage of current valuations and to refocus portfolios, creating a window of opportunity for mainland buyers.

“Lots of Western miners are selling,” said Mario Wong, chief financial officer at Chifeng Jilong Gold Mining, which raised more than $400-million in a Hong Kong offering earlier this year to fund acquisitions abroad. The stock has almost doubled since it started trading in March, far outpacing gold’s gain.

“They want to sell at higher prices and liquidate part of their portfolio, or they want to diversify their commodity mix,” Wong said in a text interview. “There are more Chinese deals to come.”

In considering acquisitions, Chinese firms are likely looking at projects in Africa, Latin America, as well as Central and Southeast Asia. While Western producers can be wary of some of the tougher jurisdictions, mainland miners can offer expertise in infrastructure building, which can cut costs and improve potential profits.

The only catch, especially for state-owned producers, could be the high premiums for better assets.

‘GOOD TARGETS’

“Somewhere like Kazakhstan and Southeast Asia would definitely be a good target,” said Howard Lau, China materials analyst at HSBC Holdings, with Africa also popular. “Once a Chinese miner acquires a project, they seek to cut the costs substantially.”

Zijin Mining, China’s top producer, announced this week that it would buy a gold mine in Kazakhstan for $1.2-billion, underscoring a push to expand production. The metal giant has already applied to list its international assets in Hong Kong, setting the stage for further interest in the industry.

Zijin Mining and Shandong Gold did not reply to Bloomberg requests for comment for this story.

While gold has already done well this year, some influential market watchers expect that upside remains over the balance of 2025 and into 2026. Among them, Wall Street lender Goldman Sachs Group Inc. has reaffirmed a $4 000-an-ounce forecast by next year.