BHP Billiton (ASX:BHP) share price falls after it buys stake in copper-gold explorer

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ASX:BHP

The BHP Billiton (ASX:BHP) share price has fallen 50 cents or 1.5 per cent to $32.58 after the mining giant said it is buying a $50 million stake in copper-gold explorer SolGold, the majority owner of a project in Ecuador.

This comes on a poor day for the Australian share market, with the ASX 200 index down 44 points or 0.71 per cent to 6,249.

BHP has agreed to pay Canadian company Guyana Goldfields about 27.4 million pounds ($A49 million) for a 6.1 per cent interest in the London- and Toronto-listed company, which controls the “high quality” Cascabel exploration project.

BHP chief executive Andrew Mackenzie said the investment was in a “highly prospective” location, adding copper was a focus as the global miner seeks to replenish its resources base.

With AAP

Contributors to this article may own shares in some of the companies mentioned in this article. The Capital Club has a thorough disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.
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Bruce Jackson has 30 years of hands on investing experience. He is passionate about stock market investing, running his own portfolio and SMSF. His focus is on small cap growth stocks. You can contact Bruce at brucej@thecapitalclub.com.au