China’s Zijin Mining is the front-runner to acquire Barrick Mining’s Tongon gold mine in northern Ivory Coast for up to $500 million, two sources close to the matter told Reuters.

Barrick, the world’s third largest gold producer, is pivoting toward high-margin, long-life assets, with a growing focus on copper and strategic operations in Africa and the Middle East.

It suspended activity at its flagship Loulo-Gounkoto complex in neighbouring Mali after the country’s military government blocked exports, detained staff and seized three tons of gold in a dispute over its new mining code.

The two sources said Barrick had appointed Canada-based TD Securities and Australia-based Treadstone Resource Partners to advise on the sale of the Tongon mine, which, according to Barrick, produced 148,000 ounces of gold in 2024 worth $504 million at current prices. Barrick expects the mine to enter care and maintenance by 2027 due to declining resources.

The Canadian miner told Reuters it does not comment on market speculation. TD Securities and Treadstone did not respond to requests for comment.

Zijin, one of China’s largest gold and copper producers, has been expanding rapidly, with recent acquisitions in South America, Central Asia and Africa.

Its interest in Tongon comes after Chinese state-owned enterprises have invested more than $50 billion in African mining projects since 2010, with a strong focus on bauxite, copper, cobalt and gold.

One of the sources, a mining industry executive, said Zijin is leading the bidding for Tongon due to its deep financial resources, adding that the asset is valued at around $300 million and that Zijin is expected to offer significantly more to secure it, potentially up to $500 million.

A second mining executive confirmed Zijin’s lead but said a local Ivorian company, which he declined to name, was also in contention.

The executive added that Zijin did not appear to favour forming a partnership to acquire the Tongon mine, despite that being the Ivorian government’s preferred option.

Zijin did not respond to a request for comment. Officials at the Ivory Coast Ministry of Mines said they did not have up-to-date information on the proposed sale, declining to comment further on the government’s requirements for the deal.

A final decision on the winning bidder is expected later this month, pending regulatory approval, the first executive said. The deal could also fall through or be delayed.

Barrick has been reshaping its portfolio, completing a $1 billion sale of its 50% stake in the Donlin gold project in Alaska and agreeing to divest its historic Hemlo mine in Canada, marking its exit from domestic gold production.

In Mali, a military helicopter airlifted gold from the Loulo-Gounkoto site earlier this month, just days after a court-appointed administrator announced plans to sell bullion from the facility to fund operations.

Zijin took a 9.9% stake in Canada-based Montage Gold, which is developing the Koney gold project in Ivory Coast last July before paying $1 billion for Newmont’s Akyem gold mine in October.

Barrick holds an 89.7% stake in Tongon, with the Ivorian state owning 10% and local investors holding the remaining 0.3%.