Gold Digger: One Rick to Rule them all

A weekly recap of the news driving ASX small cap gold stocks.

As a trusted safe haven in times of economic crisis, gold usually rallies amid nasty stock selloffs like this one. It seems like a strange time for gold and gold-facing equities to be dropping.

Gold producers have been hit hard, led by Alkane Resources (ASX:ALK),Perseus Mining (ASX:PRU) and St Barbara (ASX:SBM) down 25 per cent, 19 per cent, and 18 per cent respectively week-on-week. The junior end didn’t fare any better.

Or maybe it’s not so strange. Speaking on the sidelines of the Prospectors and Developers conference (PADC) in Toronto, Canada, renowned investor Rick Rule says all asset classes get sold off during a liquidity squeeze.

“What you see in circumstances like last week — or in 2008, or before that in 2000, or before that in 1987 — is that all assets sell off in a crisis,” he told Kitco.

But for the last 20 years the official sector response to a liquidity squeeze is more liquidity. Easy money and lower interest rates tend to be good for gold, Rule says.

“If you look back to 2008 yes, gold sold off immediately [which] scared many of the faithful – but then it came back very, very, very strongly,” he says.

“What happens Monday? What happens Tuesday? The most honest answer is don’t know.

“What I can tell you is this — in circumstances where fear begins to prevail over greed … the risk of not owning gold is much higher than the risk of owning gold.”

Winners & Losers

Here’s how ASX gold stocks performed for the period Feb 24 — March 2 [intraday]:

Scroll or swipe to reveal table. Click headings to sort. Best viewed on a laptop:

Code	Name	1 Week Return %	1 Year Return %	Price [intraday Monday]	Market Cap
NCM	NEWCREST MINING	-8	9	26.66	$ 21,988,915,200.00
NST	NORTHERN STAR RESOURCES	-7	47	12.92	$ 10,974,923,776.00
EVN	EVOLUTION MINING	-9	15	4	$ 7,618,688,000.00
SAR	SARACEN MINERAL HOLDINGS	-10	46	3.77	$ 4,610,083,840.00
RRL	REGIS RESOURCES	-11	-22	3.745	$ 2,251,239,424.00
SBM	ST BARBARA	-18	-43	2.345	$ 1,761,885,952.00
SLR	SILVER LAKE RESOURCES	-8	133	1.47	$ 1,579,320,192.00
GOR	GOLD ROAD RESOURCES	-15	58	1.325	$ 1,480,949,632.00
PRU	PERSEUS MINING	-19	133	0.985	$ 1,448,388,736.00
RSG	RESOLUTE MINING	-14	-6	0.97	$ 1,175,731,712.00
WGX	WESTGOLD RESOURCES	-15	72	1.91	$ 911,771,904.00
RMS	RAMELIUS RESOURCES	-9	92	1.0675	$ 892,227,392.00
WAF	WEST AFRICAN RESOURCES	-5	102	0.495	$ 552,754,048.00
ALK	ALKANE RESOURCES	-25	272	0.715	$ 524,930,144.00
CMM	CAPRICORN METALS	-13	269	1.155	$ 454,105,792.00
RED	RED 5	-7	152	0.3	$ 435,779,840.00
BGL	BELLEVUE GOLD	2	-5	0.555	$ 359,046,176.00
DCN	DACIAN GOLD	0	-50	1.4	$ 319,798,176.00
TBR	TRIBUNE RESOURCES	2	33	4.81	$ 296,941,184.00
CYL	CATALYST METALS	-4	32	2.23	$ 230,718,432.00
DEG	DE GREY MINING	3	94	0.17	$ 212,902,896.00
SPX	SPECTRUM METALS	-7	3025	0.12	$ 203,799,696.00
CDV	CARDINAL RESOURCES	1	-7	0.32	$ 182,789,072.00
EMR	EMERALD RESOURCES NL	-16	-7	0.034	$ 171,077,744.00
RND	RAND MINING	-6	23	2.02	$ 129,920,704.00
MAU	MAGNETIC RESOURCES NL	-10	139	0.61	$ 126,508,544.00
MML	MEDUSA MINING	-19	51	0.56	$ 124,676,584.00
KCN	KINGSGATE CONSOLIDATED	-17	190	0.43	$ 109,719,584.00
BDC	BARDOC GOLD	-14	56	0.064	$ 102,801,912.00
BCN	BEACON MINERALS	-3	63	0.03	$ 97,193,512.00
OKU	OKLO RESOURCES	-6	-8	0.185	$ 94,941,544.00
TIE	TIETTO MINERALS	-7	143	0.23	$ 90,221,080.00
SVL	SILVER MINES	-22	54	0.0745	$ 87,952,760.00
TTM	TITAN MINERALS	-9	-56	0.105	$ 87,687,248.00
VAN	VANGO MINING	-13	-31	0.1	$ 82,169,064.00
BBX	BBX MINERALS	-13	3	0.16	$ 74,410,504.00
DGO	DGO GOLD	8	180	1.7	$ 72,525,104.00
CHN	CHALICE GOLD MINES	-21	33	0.2	$ 67,146,696.00
CAI	CALIDUS RESOURCES	-2	20	0.25	$ 63,333,272.00
TAM	TANAMI GOLD NL	-15	13	0.042	$ 61,105,048.00
ADN	ANDROMEDA METALS	-11	680	0.038	$ 59,736,944.00
TRY	TROY RESOURCES	-10	-16	0.077	$ 58,781,932.00
BRB	BREAKER RESOURCES NL	-19	-51	0.185	$ 57,830,020.00
AOP	APOLLO CONSOLIDATED	-11	25	0.2	$ 53,154,368.00
NUS	NUSANTARA RESOURCES	-5	26	0.27	$ 52,807,124.00
ARL	ARDEA RESOURCES	-26	-16	0.39	$ 52,198,692.00
AAR	ANGLO AUSTRALIAN RESOURCES	13	110	0.125	$ 51,139,832.00
BLK	BLACKHAM RESOURCES	-31	-67	0.0085	$ 47,162,424.00
DGR	DGR GLOBAL	-7	-45	0.069	$ 44,762,276.00
FML	FOCUS MINERALS	0	-4	0.205	$ 43,859,656.00
BRV	BIG RIVER GOLD	-38	25	0.021	$ 43,467,520.00
HRZ	HORIZON MINERALS	-16	-41	0.08	$ 40,657,644.00
GMN	GOLD MOUNTAIN	-9	-6	0.06	$ 38,080,992.00
SIH	SIHAYO GOLD	-11	0	0.016	$ 37,759,860.00
PRX	PRODIGY GOLD NL	-10	-33	0.05	$ 36,579,540.00
RXL	ROX RESOURCES	-35	150	0.02	$ 36,448,680.00
STN	SATURN METALS	-18	137	0.44	$ 35,862,752.00
BSR	BASSARI RESOURCES	-18	-22	0.014	$ 35,816,324.00
MEU	MARMOTA	-19	119	0.03	$ 35,464,472.00
VMC	VENUS METALS CORP	-25	21	0.16	$ 33,237,310.00
ONX	ORMINEX	-12	-68	0.059	$ 32,885,232.00
MAT	MATSA RESOURCES	-7	-13	0.125	$ 32,537,606.00
BC8	BLACK CAT SYNDICATE	-4	80	0.32	$ 31,988,254.00
ERM	EMMERSON RESOURCES	-5	-10	0.067	$ 31,864,040.00
AZM	AZUMAH RESOURCES	0	23	0.032	$ 31,314,618.00
ARV	ARTEMIS RESOURCES	-23	-62	0.024	$ 30,716,012.00
HAW	HAWTHORN RESOURCES	3	26	0.075	$ 27,435,712.00
AMG	AUSMEX MINING GROUP	-15	-44	0.038	$ 23,752,716.00
AQI	ALICANTO MINERALS	-6	150	0.074	$ 23,308,616.00
MLL	MALI LITHIUM	-12	-62	0.07	$ 22,849,064.00
KRM	KINGSROSE MINING	-9	-42	0.029	$ 21,900,220.00
GML	GATEWAY MINING	-13	-7	0.012	$ 21,433,856.00
AUC	AUSGOLD	6	-14	0.016	$ 21,017,792.00
MDI	MIDDLE ISLAND RESOURCES	14	-27	0.007	$ 19,418,060.00
CWX	CARAWINE RESOURCES	-27	17	0.22	$ 19,316,874.00
NAG	NAGAMBIE RESOURCES	-17	-50	0.04	$ 18,897,158.00
LNY	LANEWAY RESOURCES	-17	-17	0.005	$ 18,600,330.00
AGS	ALLIANCE RESOURCES	0	22	0.12	$ 18,484,600.00
LEX	LEFROY EXPLORATION	-11	-11	0.17	$ 18,087,614.00
GWR	GWR GROUP	-18	-38	0.062	$ 17,828,736.00
KWR	KINGWEST RESOURCES	-15	0	0.13	$ 17,676,280.00
GSN	GREAT SOUTHERN MINING	-17	43	0.05	$ 17,657,604.00
AME	ALTO METALS	58	73	0.053	$ 17,602,426.00
HRN	HORIZON GOLD LIMITED	-6	31	0.23	$ 17,602,042.00
DTR	DATELINE RESOURCES	-20	-33	0.002	$ 16,420,156.00
OAU	ORA GOLD	0	100	0.018	$ 15,507,142.00
TLM	TALISMAN MINING	-9	-14	0.072	$ 14,930,271.00
NWM	NORWEST MINERALS	-9	-16	0.145	$ 14,252,830.00
E2M	E2 METALS	-17	-26	0.125	$ 13,780,468.00
CGN	CRATER GOLD MINING	0	-29	0.01	$ 13,502,455.00
RML	RESOLUTION MINERALS	-17	64	0.054	$ 12,904,522.00
SAU	SOUTHERN GOLD	-18	-17	0.125	$ 12,366,026.00
ARS	ALT RESOURCES	-13	-23	0.019	$ 12,337,182.00
ANL	AMANI GOLD	-25	-40	0.002	$ 12,270,899.00
CTO	CITIGOLD CORP	0	-33	0.004	$ 12,105,866.00
GBZ	GBM RESOURCES	-8	-14	0.07	$ 11,959,169.00
BAR	BARRA RESOURCES	-10	-45	0.015	$ 11,333,799.00
SMI	SANTANA MINERALS	-20	-20	0.003	$ 10,735,782.00
HMX	HAMMER METALS	-14	-28	0.017	$ 10,617,785.00
GMR	GOLDEN RIM RESOURCES	-10	-44	0.007	$ 10,466,695.00
TSC	TWENTY SEVEN CO	-13	75	0.006	$ 10,404,246.00
WWI	WEST WITS MINING	-17	0	0.01	$ 10,312,841.00
KTA	KRAKATOA RESOURCES	27	58	0.04	$ 8,093,750.00
MKG	MAKO GOLD	0	-51	0.067	$ 7,349,338.00
A1G	AFRICAN GOLD	-24	-54	0.11	$ 7,262,500.00
ALY	ALCHEMY RESOURCES	-8	-40	0.01	$ 7,156,816.50
GUL	GULLEWA	-4	67	0.045	$ 7,135,662.50
AWV	ANOVA METALS	-9	11	0.01	$ 6,391,323.00
PGI	PANTERRA GOLD	0	13	0.026	$ 5,463,966.00
MTH	MITHRIL RESOURCES	-25	50	0.009	$ 5,394,281.50
MSR	MANAS RESOUCES	0	-50	0.002	$ 5,286,325.00
CXU	CAULDRON ENERGY	0	-35	0.015	$ 5,144,347.50
NXM	NEXUS MINERALS	-2	-33	0.04	$ 5,084,344.00
BNR	BULLETIN RESOURCES	-11	0	0.025	$ 5,020,206.00
DHR	DARK HORSE RESOURCES	-33	-33	0.002	$ 4,928,792.50
PDI	PREDICTIVE DISCOVERY	-22	-42	0.006	$ 4,859,336.50
MOH	MOHO RESOURCES NL	-28	-53	0.074	$ 4,661,233.00
SFM	SANTA FE MINERALS	0	-20	0.064	$ 4,660,402.50
DAU	DAMPIER GOLD	-9	-45	0.021	$ 4,553,678.00
GBR	GREAT BOULDER RESOURCES	-7	-77	0.033	$ 4,537,436.00
AYR	ALLOY RESOURCES	-25	-50	0.0015	$ 4,177,354.75
DTM	DART MINING NL	-4	-33	0.067	$ 3,947,580.25
TAR	TARUGA MINERALS	-15	-79	0.011	$ 3,569,883.25
SLZ	SULTAN RESOURCES	-24	-3	0.068	$ 3,476,647.00
MLS	METALS AUSTRALIA	0	-67	0.001	$ 3,207,352.75
PUA	PURE ALUMINA	-37	-69	0.011	$ 3,104,651.50
RGL	RIVERSGOLD	-8	-76	0.012	$ 2,967,044.50
TNR	TORIAN RESOURCES	0	-64	0.008	$ 2,957,224.00
GSM	GOLDEN STATE MINING	-18	-44	0.07	$ 2,930,096.00
OKR	OKAPI RESOURCES	7	-59	0.08	$ 2,883,429.25
VKA	VIKING MINES	-11	-27	0.007	$ 2,823,460.75
GED	GOLDEN DEEPS	-28	-64	0.01	$ 2,806,085.50
CY5	CYGNUS GOLD	-12	-34	0.037	$ 2,730,043.25
KGM	KALNORTH GOLD MINES	-25	-25	0.007	$ 2,682,720.25
AVW	AVIRA RESOURCES	0	-33	0.002	$ 2,250,000.00
TMX	TERRAIN MINERALS	-25	-40	0.003	$ 2,169,483.00
NES	NELSON RESOURCES	3	-72	0.041	$ 2,165,692.25
AAJ	ARUMA RESOURCES	-14	-57	0.002	$ 2,128,241.75
GNM	GREAT NORTHERN MINERALS	20	-80	0.005	$ 2,081,615.00
CDT	CASTLE MINERALS	-33	-25	0.006	$ 1,660,618.88
ARM	AURORA MINERALS	-22	-36	0.007	$ 1,639,866.00
Code	Name	1 Week Return %	1 Year Return %	Price [intraday Monday]	Market Cap

SMALL CAP HIGHLIGHTS

ALTO METALS (ASX:AME) +58%

Market Cap ~$17.6m

Alto is popular, fielding takeover offers from fellow top five mover Middle Island Resources last year (which failed) and Chinese-owned company Goldsea (which is ongoing).

The WA explorer is still considering its response to the February 21 Goldsea offer, which values it at about ~$20m.

On February 27 drilling at the historic 800sqkm Sandstone gold project intersected a new shallow gold lode, about 200m south of — and identical to — the old Lord Nelson open pit.

Which is great, but that’s not even taking into account the lack of deeper drilling by previous owners.

“[This was] primarily due to the inability of the former Sandstone process plant to treat large volumes of the harder, fresh ore found at depth,” Alto says.

“Given many other orogenic Yilgarn gold deposits, such as Jundee (+5.5moz production), Kanowna Belle (+4.9moz production), Gwalia (+5.5moz production) are known to extend to great depth, Alto firmly believes the significant potential of Sandstone has not yet been tested.”

KRAKATOA RESOURCES (ASX:KTA) +27%

Market Cap: ~$8m

Minnow Krakatoa is chasing porphyry whales at the recently acquired Belgravia project in NSW’s East Lachlan.

Drilling kicked off last week at the Bell Valley target which Krakatoa says “lies in the same rocks” that host the giant Cadia-Ridgeway mine (35km south) and Alkane Resources’ Boda discovery (65km north).

READ: Explainer — Why are so many explorers chasing a porphyry payday?

MIDDLE ISLAND RESOURCES (ASX:MDI) +14%

Market Cap: ~$19.5m

Middle Island’s 180sqkm Sandstone project is surrounded by perpetual takeover target Alto Resources, which also has a project called Sandstone (confusing, we know).

But the explorer has also completed a capital raising which saw notable mining investor Stephen Copulos top up his holdings.

ANGLO AUSTRALIAN RESOURCES (ASX:AAR) +13%

Market Cap: ~$51m

Anglo’s main game is the Mandilla gold project, 60km from Kalgoorlie.

In February, new managing director Marc Ducler said that drilling “continues to validate what appears to be a significant, large-scale gold system”.

Ducler was most recently the guiding force behind high-grade success story Egan Street Resources, a stock which went from 19.5c to ~55c in 12 months.

Egan Street was acquired by producer Silver Lake (ASX:SLR) late last year in a deal which valued it at ~$70m.

READ: Tim Treadgold — Back to work at Mandilla after the hatchet is buried at Anglo Australian