China's Zijin Mining Group, which specializes in the global exploration and development of metals such as copper, gold, zinc and lithium, as well as engineering and technological research, announced on Monday that it would be buying Canada's Allied Gold for around $4.02 billion.

The announcement came as Zijin steps up its global expansion against the backdrop of record high prices for gold, which has boosted margins and cash flows for mining companies.

Zijin said the acquisition aligns with the company's development strategy and will significantly enhance the comprehensive strength of its gold sector.

According to the company, by driving substantial growth in mined gold production, the move is pivotal in consolidating the company's leadership within the global gold industry and achieving its strategic vision of becoming a world-class, premier mining conglomerate.