Dacheng Attorneys Advise SD-Gold on Gold Mine Acquisition

On June 1 2012, a signing ceremony was held in the New Century Hotel of Laizhou, Shandong, during which Shandong Gold Group Co., Ltd. (“SD-Gold”) stroke a deal with Shandong Shengda Mining Co., Ltd. and Shandong Tiancheng Mining Co., Ltd. to purchase a 98.5% stake in each of the two companies. SD-Gold also captured a 55% stake in one of Shengda’s gold mines with 105 tons of gold reserves. Dacheng senior partner Yang Guisheng was invited to attend the ceremony on behalf of all intermediary service providers.

According to the agreements, the purchase would cost SD-Gold RMB3.7bn. The 105-ton gold mine contains huge reserves of monomeric gold, experts say. This makes the largest gold mine acquisitiondeal that China has ever seen, which drew much attention from the mining industry and the media.

Dacheng attorneys provided comprehensive legal service for SD-Gold. Their work included negotiation, contract signing, due diligence and deal delivery. The project was led by Mr. Yang Guisheng, withsupport from attorneys XuFeipeng, Zhang Xidong and Yang Haoran.