Mexico is seeking to attract Barrick Gold Corp., the world's largest producer of the precious metal, to help explore the two-thirds of the country that may contain untapped gold fields.

"I'll be really happy if Barrick could come to invest in Mexico during my administration," said Maria Jimena Valverde, director of Mexico's mining administration at the Economy Ministry. Mexico is in talks with Barrick (ABX/TSX) about the "very high exploration potential" that the country could offer, Ms. Valverde said in an interview late Monday.

Gold production in Mexico has registered a 24% annual growth rate in the past five years, according to the Mexican government. This year Ms. Valverde expects an increase of "at least" 40% to 84.6 tons of gold (2.98 million ounces) as five new mining operations reach full capacity, including Goldcorp Inc.'s Penasquito mine.

Mexico, home to the world's largest copper and silver deposits, is betting on gold output to boost production after labour disputes stopped work on July 30, 2007 at Grupo Mexico SAB's Cananea, the country's largest copper mine.

Some Chinese companies have also approached Mexico about investing in copper projects in Mexico to secure supplies, Ms. Valverde said. She declined to identify the companies until an agreement was reached.

"The Chinese companies want to buy, to partner and to produce here," she said.

Vincent Borg, a Barrick spokesman, didn't immediately return a telephone call seeking comment.

Barrick Gold rose 2% to $36.32 at 10:56 a.m. in Toronto Stock Exchange trading. The shares have dropped 19% so far this year.

Gold advanced for the first time in four days after a drop to the lowest price in 10 weeks attracted investors. Gold for immediate delivery gained $8.50, or 0.98%, to US$880 an ounce as of 11:35 a.m. on the New York Mercantile Exchange's Comex division.

Bloomberg.com