Can junior miners spin gold out of geopolitical risk?
Against a background of political tensions and trade wars, major miners and junior gold companies alike are creating value for shareholders without spending a dime
Company
JSE:DRD
DRDGOLD Ltd is a South African gold producer and a world leader in the recovery of metal from the retreatment of surface tailings. The company has a network of assets that is unrivalled in South Africa and, with its consolidated businesses operating as a single entity, is focused on optimising these assets in order to increase gold production.
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Against a background of political tensions and trade wars, major miners and junior gold companies alike are creating value for shareholders without spending a dime
Investments and investor services
Other small-caps making movers included DRDGOLD, Nano One Materials and Athenex
For the quarter ended March 2019, the Johannesburg miner says yield increased by 4% in compared to the previous quarter due to ‘higher grade material’ processed at its Far West Gold Recoveries project
With the West Rand acquisition under its belt, DRDGOLD is building a plant to process a million tons a month, and a storage facility which could act as a catalyst to consolidating more dumps west of Johannesburg
With the price of gold showing no signs of decline, gold companies are reaping the benefits
Gold Resource Corp CEO Jason Reid said Barrick Gold’s play for rival Newmont signals M&A activity will snowball in the run-up to a perceived near-term bull market in precious metals
Construction started in August, and the surface tailings company met its targeted start of commissioning, CEO Daniel Pretorius said on a conference call
But output in the latest six months was blighted by power outages, the South Africa-based miner said
GOLD: Is the future for gold gleaming? Will 2019 be the year that the yellow metal asserts itself?
The company says it is targeting a processing rate of 500,000 tons a month
The South African mIner looking to expand and upgraded facilities in its Far West Gold Recoveries
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Investments and investor services
Its strategy is to remain unhedged but keep borrowings to a minimum
The new West Rand crown jewel virtually doubles the Johannesburg-based miner’s gold reserves
The gold producer's primary listing is the Johannesburg Stock Exchange; other listings will remain the same
The South African miner’s appeal lies with the gold bull as bullion prices seen moving north
The deal was first announced to the market back in November, and will see DRD issue 265mln shares - equivalent to a 38% stake - to Sibanye-Stillwater for the West Rand Tailings Retreatment Project