Shanta Gold Limited (AIM:SHG) maintained its new guidance of 60-65koz gold production in 2021 (110koz p.a. by 2023) and broker Liberum is very confident that the miner will meet it.
Buy with a target price of 35p.is the broker's view, which notes that gold continues to hold up better than forecasts for the second half averaging $1,803/oz in the half to date ensuring solid operating free cash flow generation at the New Luika mine.
West Kenya meanwhile continues to shoot the lights out on exploration, hitting one of the best intersections in 2021 across all commodities and Singida mine construction progresses as planned, with pre-stripping commencing this quarter.
Liberum added that the dividend at 0.1p beat expectations, while the VAT refund was handy.