Plus, Encounter Resources’ enviable JV with Newcrest leaves it highly leveraged to exploration success
Finding a lightly-capitalised growth story in the ASX gold space is tougher than ever.
The Aussie dollar gold price of more than $1,730/oz and the on-average margins of $700/oz which that offers up for those with near-term production potential has kind of made sure of that.
But there are still a few out there which for one reason or another have been overlooked. NTM Gold (NTM) is a case in point.
It is trading at 4.5c for a market cap of all of $15 million, which is pretty much the value of your average gold explorer nowadays without any resource ounces in the bank.
Resources stocks in Australia trended up over the past week, at least that’s how I saw the market from afar with this edition of Prospector’s Diary being filed from New York where interest in commodities is growing rapidly.
Bill Beament’s Northern Star Resources has set an aggressive production target for the final three months of the financial year as it looks to hit a run-rate of 600,000 ounces a year from its two Goldfields operations by the end of June (The West Australian reports).
Sandfire Resources has squeezed another nine months of mine life out of its flagship DeGrussa operation as it continues a relentless search for more ore bodies in the Doolgunna region north of Meekatharra (reports The West Australian).