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Eldorado Gold

(EGO) - Get Eldorado Gold Corporation Report

CEO Paul Wright says the gold miner is opportunistic, not desperate.




outbid Eldorado for

Andean Resources

, experts assumed the company would go on a shopping spree for smaller gold companies, but Wright told me at the Denver gold conference that those rumors were nonsense.

"The failed Andean transaction certainly created a lot of rumor mills and there's sort of a lot of nonsense being discussed about every company ... we're likely to acquire next and that tends to effect for the short term how the stock price performs."

Shares of Eldorado Gold are up 27% year to date and


magazine called it the top growing company.

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Wright says he is focusing on internals and organic growth rather than acquisitions. The company has two new mines in Turkey and China coming on line in 2011 as well as a project in Greece going through the permitting stage and one in Brazil entering the permitting and engineering phase, "so it's not like we don't have enough to keep ourselves busy for the next few years," says Wright

Wright says he is remaining open to other acquisition targets but it might be a couple of years before anything comes down the pipeline. But Eldorado will have its work cut out for it if it decides to shop around. The company has a $10.81 billion market cap compared to Goldcorp with $32.51 billion and

Newmont Mining

(NEM) - Get Newmont Corporation Report

with $31.58 billion. So if there is a bidding war like with Andean, chances are Eldorado will lose.

"Largely speaking we're looking for slightly different assets ... so it's not that often that we really bump into each other." Eldorado might be satisfied with smaller assets whereas the big producers need bigger mines to replace their production reserves.

Overall, Wright is confident about Eldorado's growth profile, having made 11 cents a share in the second quarter, or $60.6 million. The company produced 167,940 ounces of gold at a cash costs of $357 per ounce, one of the industry's lowest.


Written by Alix Steel in Denver.

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