The Newmont ([[NEM]])/Goldcorp ([[GG]]) merger is the second mega-deal in the industry after Barrick ([[GOLD]]) acquired RandGold in September. Without question, the two deals reflect the growing need for large gold and silver mining companies to replace reserves, which are being depleted at these two companies more quickly than they are being replenished. The deal will give Newmont access to Goldcorp’s portfolio of developing and exploration projects acquired by Goldcorp over the last several years.
While this deal and the Barrick/Randgold deal will help cover up the managerial, operational and financial warts on Barrick and