Great Results from @LundinGold $LUG in Q3; Achieves EPS of $0.20 After just 3 Quarters! #Gold #Ecuador #FDN

Very strong re-start of operations at its Fruta del Norte gold mine ("Fruta del Norte") following the temporary suspension in the second quarter due to the COVID-19 pandemic. 

Fruta del Norte produced 94,250 ounces ("oz") and sold 62,160 oz of gold, at a low cash operating cost of $632 per oz1 sold during the quarter. This resulted in net revenues of $119 million, income from mining operations of $62.8 million and cash flow from operations of $23.4 million.

Adjusted net earnings for the quarter were $45.8 million and $0.20 per share.

…

Going forward, the Company expects to generate net sale receipts and net operating cash flows well in excess of its known obligations due in the next twelve months.

Guidance for the second half of 2020 remains unchanged and gold production at Fruta del Norte for the fourth quarter of 2020 is estimated to be in the range of 60,000 to 75,000 oz. Production is expected to be lower in the fourth quarter compared to the third quarter due to a planned mill maintenance shutdown to expand the concentrate filter press capacity and lower feed grades, which are more reflective of the overall average resource grade. Total 2020 gold production is estimated to be between 200,000 and 220,000 oz.

AISC for the second half of 2020 is expected to range between $770 and $850 per oz of gold sold. AISC includes $10.4 million in sustaining capital, most of which is planned for the fourth quarter and is comprised of costs for the tailings dam raise which commenced in September, the purchase of surface mobile equipment and other efficiency improvement projects.

See the whole press release here:

https://mma.prnewswire.com/media/1330477/Lundin_Gold_Inc__Lundin_Gold_Reports_Q3_2020_Results.html

https://bit.ly/MasterMetals

.@RupertResources Bucking the Trend of the #Gold Stocks $RUP

 

Rupert Resources $RUP had a strong advance yesterday—and this in a severe downmarket in precious metals stocks. 

The shares closed at CAD 5.41 (+$ 0.43 or 8.6%). 

Look at the performance of Rupert Resources versus GDX, the largest gold miners ETF. It has been outperforming gold stocks by milestones and the MACD (lower chart) indicates it will start to outperform further.

The excitement is all about the fantastic Ikkari gold discovery in Area 1.  There is no news, but the company releases drill results from the Ikkari gold discovery in Northern Finland, about every 3 weeks.  We should thus be expecting further drill results in the next week or so. 

The old Pahtavaara mine, currently on care & maintenance, around 20-25 km east of the gold discovery. The other picture is from the drilling site.

Agnico-Eagle Mines (AEM) operates 50 km to the northwest the Kittilä gold mine, the largest gold mine in Europe, with an estimated annual production of 200'000 ounces per year. AEM owns about 15% of the shares of Rupert Resources.

Cormark Securities published yesterday a report on Rupert Resources. The full report can be found here: https://drive.google.com/file/d/1HUMloKlUZ8O9sSkLIeudk96upJ6nv8rT/view?usp=drivesdk. 

MasterMetals

.@JPMorgan Remains King Of The #Gold Market Accounting For 1/3 Of All Trade In Gold Bars on #Comex in October, +40% in June

JPMorgan earned record revenue of around $1 billion so far this year from trading, storing and financing precious metals, vastly outperforming rival banks, reports Reuters.

The U.S. bank's revenue by mid-November accounts for at least half of the $1.7 billion to $2 billion the top 10 investment banks combined will make this year from precious metals, mostly gold, estimates consultancy McKinsey CIB Insights.

Its commodities division is on track to bring in more than $1.5 billion this year and could challenge Goldman Sachs for the title of top earner, the sources said.

Data from CME Group, which runs Comex, show JPMorgan's clients accounted for one-third of all trade in gold bars registered with the exchange in October, and more than two fifths in June.

Like other big banks, JPMorgan was able to get and ship metal cheaply and in large quantities when other, smaller traders could not, sources said.

See the whole article on Reuters here: https://www.reuters.com/article/us-precious-revenue-jpmorgan-exclusive-idUSKBN2831N5

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MasterMetals

@MasterMetals