I know this is the fifth time I am writing about gold but with the precious metal surging to fresh new multi-year highs I need to stress to readers the enormous opportunity that is being presented to investors.
Shares in Resolute Mining dipped nearly 3% yesterday after the company released unaudited profit figures for 2016-17 that fell a bit short of expectations. The release was made to coincide with a presentation the company gave to a WA mining conference.
Shares in Resolute Mining got a small kick along yesterday after the company revealed it had done much better in 2016-17 than expected, boosting gold production by more than forecast and slashing costs.
Gold production in the December quarter was below expectations. While production from Syama sulphide was softer, Macquarie expects the underground operation to ramp up to full capacity over the next six months.
Resolute Mining has published an updated definitive feasibility study for Syama which shows a fall in operating costs, thanks to a ramp-up in automation, and an extension to mine life. Resolute also revealed expansion options for the project, which would result in higher production.
Resolute Mining was the best performer in the ASX 200 throughout the first three quarters of 2016, Morgan Stanley observes, but gave up half the gains as gold miners moved lower in the wake of the US election.