Capital Group Companies

Capital Group Companies Inc/ Capital Group International Inc is one of the largest global hedge funds. It won the Mining Fund management award at the 2004 Mines and Money Awards [MJ 8 December 2006].

As of 2009, Capital held 4.95% of Rio Tinto [Hemscott 16 August 2009].

In early 2008 it held:

• 11.19% (as largest single shareholder) of Central African Mining & Exploration Company PLC (Camec) - not to be confused with Cameco, the Canadian uranium mining giant. (see also: RP Explorer Master Fund). Together with a separate stake by its Capital Research and Management subsidiary, Capital’s effective holding in Camec was 14.47%.
• 4.5% of Aricom PLC (see Lansdowne Partners);
• 3.38% of European Nickel plc (see Prudential PLC)

As of 30 March 2009, Capital Group held 4.02% of Lonrho Plc (see also: Capital Research and Management).

In November 2007, Camec signed a joint venture agreement with Prairie International Limited, a company controlled by the family of much-criticised diamond dealer, Dan Gertler, to own and operate Mukondo Mountain in DR Congo. This, according to Camec directors, is “believe[d to be] the richest cobalt mine in the world (although Freeport McMoran’s own copper-cobalt project in DR Congo bids fair to rival this claim).

As of end-2008, the agreement had not been finalised. Under it, Prairie would sell its stake in Camec for around 39.9% of an enlarged Camec. [Camec press release, 7 February 2008]

Capital Group also held that year:

• 3.07% in GCM Resources, operator of the Phulbari coal mine project in Bangladesh [Hemscott 23 February 2008] (see RAB Capital)
• 9.03% of Oxus Gold PLC (see RAB Capital) [Hemscott 13 February 2008]
• 8.24% of African Minerals Ltd (see Prudential PLC) [Hemscott 3 August 2009]

By 2011, Capital Group held 6.81% of the equity of African Minerals Ltd, active in Sierra Leone [Hemscott 22 February 2011] (see Prudential PLC.