The 10 biggest gold companies led by Barrick Gold Corp. spent more than $100 billion in the past 20 years buying new mines and projects around the globe. Now they’re feeling pressure to throw the strategy into reverse.
Randgold Resources Ltd., a producer of the precious metal in West Africa, dropped to the lowest level in two months in London trading after the president of Ivory Coast dissolved the country’s government.
French and West African military intervention in Mali runs the risk of provoking revenge attacks by Islamic militants, spreading instability in a region rich in gold, uranium and cocoa, said analysts from Dakar to London.
Randgold Resources Ltd., the best- performing London-traded gold producer this year, said West African gold developers’ discoveries are too small to make them attractive takeover targets for major producers.