Dacian Gold’s updated mineral resource for the Greater Westralia Mining Area (GWMA) at Mt Morgans now totals 6.8mt at 4.3g/t for 935koz of gold. Macquarie notes the deposits most recently mined from underground form the bulk of the new resource.
Macquarie’s outlook on gold is lukewarm and hence the broker remains cautious on Dacian Gold. Even so, looking at the recent positive run in gold prices, the broker notes a considerable improvement in the stock’s spot price valuation.
Rating on Dacian Gold is upgraded to Neutral with the target rising to $0.35 from $0.33.
Target price is $0.35.Current Price is $0.35. Difference: $0.00 – (brackets indicate current price is over target). If DCN meets the Macquarie target it will return approximately 0% (excluding dividends, fees and charges – negative figures indicate an expected loss).