According to a recent Preqin Global Natural Resources report, a huge amount of money will go to mining investments this year, coming from prominent private funds that are willing to inject billions of dollars into natural resources.
One of these funds is China’s Power Capital, which is focused on raising $3 billion of funds for some huge mining projects in Asia. Another is the diversified fund based in the US, Energy and Minerals Group, which is seeking for $4 billion.
Aside from the two companies mentioned above, the Electrum Strategic Opportunities Fund is targeting around $250 million of raised funds for mining in Yukon. Launched in 2015, Electrum is a company to watch this year with its healthy net investment multiple of 2.05. It has also acquired a share in the mining exploration company, Kaminak Gold, prior to its sale to Goldcorp.
Last year, 74 funds raised a total of $60 billion that was invested in natural resources, including metals, energy, and water. Among these funds, five managed to raise $2.1 billion for mining investments.