China’s Zijin Gold and Canada’s Allied Gold have terminated their $4bn cash deal, following reports that Chinese regulators opposed the transaction. The deal would have given Zijin control of gold mines in Mali and Ethiopia, regions experiencing increased government intervention in mining.

Objections from China's National Development and Reform Commission, which sought assurances that Mali would not seize the mine, contributed to the deal's collapse. Allied Gold's shares have fallen since late April due to instability in Mali. Both companies cited the unlikelihood of fulfilling deal conditions.

Despite the termination, Zijin will acquire a 9.2 per cent stake in Allied for approximately $295mn. Allied CEO Peter Marrone stated that while both companies supported the transaction, a "different way" was needed. Several other major resources deals are awaiting regulatory approval.