Gold Digger: ASX investors are still rewarding solid gold news in 2021
Link copied to
It has been a relatively muted start to 2021 for gold stocks, as prices bounce between the low $US1,800’s — mid $US1900s.
We say relatively, because at these prices the big producers are still making outrageous profits.
Despite these record cashflows most major miners like Evolution Mining (ASX:EVN) -10%, Silver Lake Resources (ASX:SLR) `-12%, Ramelius Resources (ASX:RMS) -12%, and Resolute Mining (ASX:RSG) -13% have lost ground over the past month.
No one know where gold is going next, but one thing is for certain: investors are still rewarding solid gold news stories on the ASX.
Here’s how ASX-listed gold stocks performed ovr the past week, month and year:
Scroll or swipe to reveal table. Click headings to sort. Best viewed on a laptop:
VOLT RESOURCES (ASX:VRC) +138%
This tiny graphite turned gold explorer spiked hard before going into a trading halt, and then suspension, pending “release of an announcement regarding a potential acquisition”.
In an ideal world stocks jump after an acquisition is publicly announced, not before. But anyway.
The deal should be announced by Wednesday next week.
LOS CERROS (ASX:LCL) +86%
On January 21, The Colombian explorer hit a 320m long “porphyry-style” intersection at the Tesorito South target grading 1.5g/t gold from surface.
That includes a 102m long higher grade section grading 2.11g/t gold from 28m.
Porphyries are the holy grail for explorers: multigenerational monstrosities responsible for ~60 per cent of the world’s copper, most of its molybdenum, and significant amounts of gold and silver.
ORMINEX (ASX:ONX) +79%
Its small, slightly crap Comet Vale mining operation was mothballed in September. Since then, it’s been all upside.
In December, Orminex sold 50 per cent of its undeveloped Penny’s Find gold mine for $1.5m to a subsidiary of Horizon Minerals (ASX:HRZ), which will shell out an another $1m to fund early development.
The project has a current resource estimate of 248,000t at 7.04g/t gold.
In January, it appointed new chief operating officer Matt Nixon, who most recently worked as mining manager for Australia’s #2 gold miner Northern Star Resources (ASX:NST).
In May last year, Antilles – formerly PanTerra — finalised a joint venture to develop the La Demajagua gold-silver deposit in Cuba.
PanTerra wants to produce ~60,000 tonnes a year of concentrate grading around 47 grams per tonne (g/t) gold and 380g/t silver for at least six years.
A 25,000m drilling program kicked off this month to establish JORC resources. Feasibility studies for the stage one open pit mine should be completed by Q3 2022, Antilles says.