Tue, Jun. 2, 7:57 AM
- Newmont Mining (NYSE:NEM) is in exclusive talks with AngloGold Ashanti (NYSE:AU) as it moves closer toward clinching a deal to buy the latter's Cripple Creek & Victor gold mine in Colorado, Reuters reports.
- If AU agrees to a sale, the asset is likely to fetch a price in the $700M-$800M range, according to the report, which would be well below the $1B initially speculated by analysts.
- Others that may still re-enter the bidding if NEM fails to strike a deal are Canadian miners Iamgold (NYSE:IAG), Kinross (NYSE:KGC), Goldcorp (NYSE:GG) and Yamana (NYSE:AUY); Hecla Mining (NYSE:HL) has said it looked at the mine but decided against making a bid for it.
- AU said in April it was seeking a partner or buyer for the mine as it attempts to cut $3.1B in debt; Cripple Creek & Victor is an open pit mine that produced 211K oz. of gold and 110K oz. of silver in 2014.
Wed, Apr. 29, 7:27 PM
- Yamana Gold (NYSE:AUY) says it will change its executive pay plan to better reflect performance after more than 50% of shareholders voted to reject the initial proposal.
- CEO Peter Marrone also says he made a personal decision to waive 450K performance share units that he was awarded last June related to the purchase of Osisko Mining.
- Yesterday, Barrick Gold said it would refine its own controversial pay plan after shareholders voted against it.
- Say-on-pay shareholder votes are not mandatory in Canada, and companies are not required to take action on the outcomes, but they are seen as important barometers of investor attitudes.
Tue, Apr. 28, 4:37 PM
Tue, Apr. 28, 4:37 PM
Mon, Apr. 27, 6:45 PM
- Gold surged above $1,200/oz. today in its best day since January, as U.S. June gold futures settled up 2.4% to $1,203.20/oz. in its best percentage jump since Jan. 15, amid reports Friday that Venezuela's central bank had converted 1.4M oz. of its gold reserves into at least $1B in cash through a swap with Citibank.
- "That was a huge potential seller taken out of the market. It's not an overhang anymore," Dennis Gartman said of the Venezuela deal.
- Other gold watchers say the bigger factor driving prices was the expiration of May options and short covering; an increase of 13K shorts in the market is a positive since those traders could be forced to buy gold when they cover, says Kevin Grady of Phoenix Futures and Options.
- ETFs: GLD, IAU, SGOL, UGL, DGP, GLL, UGLD, DZZ, GLDI, OUNZ, DGL, DGZ, DGLD, AGOL, TBAR, GEUR, UBG, GYEN, BAR
- Miners finished mostly higher: NEM +2.4%, ABX +2.2%, AU +2.6%, GOLD -0.4%, GFI +5.3%, GG +0.9%, SBGL +3%, NGD +3.1%, EGO +1.7%, AUY +1.8%, KGC flat, IAG +4.2%, BTG +1.9%, HL +1.9%, RGLD -0.8%, FNV +0.8%, AGI +1.3%, AUQ +2.3%.
Mon, Apr. 27, 5:35 PM
- ACGL, ACHC, AEGN, AFL, AHGP, AKAM, AMCC, ANIK, ARI, ARLP, AUY, AZPN, BGFV, BLDP, BMR, BOOM, BWLD, BXMT, CALX, CBL, CEB, CGI, CHE, CINF, CLF, CMRE, CNL, CRUS, DDR, DHT, EEFT, EIX, EPIQ, EPR, EQR, ESRT, ESRX, EXAC, FARO, FEIC, GNW, GPRE, GPRO, HAWK, HELE, HIW, HLIT, HURN, IACI, INAP, IPHI, KALU, KBR, KRFT, LOGM, MRCY, MSTR, MTSI, MWA, NANO, NATI, NCR, NVDQ, OHI, OI, OTEX, PEI, PNRA, RNG, RPXC, RRC, RSYS, SKT, SLCA, SWI, TAHO, TE, TPX, TSS, TWTR, ULTI, VRSK, WDC, WRI, WSH, WYNN, X, XCO, XOOM
Fri, Apr. 24, 6:50 PM
- In another day of broad losses among in precious metals miners, Newmont Mining (NYSE:NEM) enjoyed a 6.5% surge following strong Q1 results that included impressive cost reductions in gold and copper production.
- J.P. Morgan analysts especially liked the strong first quarter at Batu Hijau and Yanacocha and the deferral of some capex that allowed NEM to generate $344M in free cash flows and pay down $200M in debt; the firm says full-year guidance could be raised if cost reductions can be maintained in Q2.
- Otherwise, it was not a good day for mining equities, following another drop in gold futures which tumbled to their lowest level in more than a month.
- NEM CEO Gary Goldberg expects gold prices to gain ~25% to $1,500/oz. by 2020 on rising demand from China and a weaker dollar; for now, Goldberg says the strong U.S. dollar is “definitely having an adverse effect” on gold prices, and he expects the dollar will “eventually come back off of its highs in the next couple of years."
- In today's trade: ABX -0.9%, AU -4.2%, GG -2.6%, SBGL -7.7%, GOLD -2%, AUY -2.5%, NGD -1.9%, GFI -4.4%, SLW -1%, PAAS -1.6%, EGO -4.1%, RGLD -2.7%, FNV -2.1%, KGC -0.4%, IAG -1.4%, BTG -1.9%, HL -1.9%, AGI -1.6%, AUQ -3.1%.
Wed, Apr. 22, 6:36 PM
- Gold tumbled today to its sharpest single session loss in more than six weeks, after the strong U.S. existing home sales report that raised expectations for a Fed interest rate hike in June.
- U.S. gold futures for June delivery fell $16.20 (-1.4%) to settle at $1,186.90/oz., while silver fell 1.3% to $15.77.
- Among precious metals miners today: ABX -3.4%, AU -4%, GG -2.8%, SBGL -6.8%, GOLD -1.5%, AUY -3.7%, NG -1.9%, GFI -5%, SLW -2.1%, PAAS -3.5%, NEM -3.1%, EGO -1.4%, RGLD -2.1%, FNV -3.4%, KGC -1.7%, IAG -4.1%, BTG -2.5%, HL -3.8%, AGI -5.4%, AUQ -4.4%.
- ETFs: GLD, SLV, GDX, NUGT, IAU, AGQ, DUST, SIL, USLV, SIVR, SGOL, ZSL, UGL, GLDX, DGP, GLL, UGLD, DZZ, SLVO, GLDI, SGDM, DSLV, OUNZ, SLVP, DGL, DBS, DGZ, RING, DGLD, AGOL, PSAU, USV, TBAR, GEUR, UBG, GYEN, BAR, GDXX
Fri, Apr. 10, 4:58 PM
- Credit Suisse sees potential for a near-term rally in gold prices, and expects copper prices to do well this year.
- The firm upgrades First Quantum Minerals (OTCPK:FQVLF) to Outperform from Neutral on positive copper and stock re-rating catalysts in H2 2015, and likes HudBay Minerals (NYSE:HBM) and Tahoe Resources (NYSE:TAHO); it downgrades Teck Resources (NYSE:TCK) to Neutral from Outperform based on a weaker outlook for coking coal and valuation.
- Among gold miners, CS prefers Agnico Eagle Mines (NYSE:AEM) for its lower cost assets, operational consistency, strong free cash flow and organic exploration and growth opportunities, and Goldcorp (NYSE:GG) for its growth and relatively strong balance sheet; Yamana Gold (NYSE:AUY) and Detour Gold (OTCPK:DRGDF) provide leverage to a gold price rally.
Wed, Apr. 8, 6:17 PM
- Yamana Gold (NYSE:AUY) says it plans to make its Brio Gold unit a publicly listed company in Q3 to realize the unit's "considerable value," but provides no details on how Brio shares would be offered to the public.
- AUY says "considerable progress" has been made to improve the operations at producing mines in the Brio portfolio and that efforts at Brio's C1 Santa Luz mine have advanced more quickly than expected.
- Q1 output at Brio's producing mines totaled ~31K oz. of gold at cash costs of ~$825/oz.
Tue, Mar. 24, 12:29 PM
- Yamana Gold (AUY +2.6%) is upgraded to Buy from Hold with a $6 price target, raised from $5, at TD Securities, which says AUY's spinoff of three non-core Brazilian mines into Brio Gold will eliminate further cash drain and allow management to concentrate on more important projects.
- The firm expects AUY to focus on further debt reduction, anticipating net debt to EBITDA will dip to a "more comfortable" 1.7x by the end of 2016, compared with a current pro forma ratio of 2.1x.
- Despite weak gold prices, AUY became free cash flow positive in Q4, which TD expects will continue in 2015 with the company's focus returning to its key low-cost mines and significantly lower capex, adding that net debt should fall to ~$1.18B and its net debt to EBITDA ratio to 1x.
Fri, Mar. 6, 2:42 PM
- Precious metals miners are bludgeoned as April Comex gold tumbles 2.7% to $1,164.30/oz. for its lowest settlement of the year so far.
- The culprit was the upbeat February jobs report, which sparked fears that the improving economy will prompt the Fed to hike interest rates sooner rather than later.
- ABX -6%, GG -6.6%, NEM -7.9%, AU -6.1%, AUY -6.6%, KGC -7.8%, SLW -3.4%, GOLD -5.4%, EGO -5%, GFI -7.9%, HL -10.4%, RGLD -8.6%, FNV -3.2%, NG -4.3%, SBGL -6.4%, PAAS -4.3%,BTG -6.5%, IAG -6.2%, AUQ -5.6%, AGI -2.8%.
- Precious metals ETFs: GLD, SLV, AGQ, IAU, USLV, SIVR, SGOL, ZSL, UGL, DGP, GLL, UGLD, DZZ, SLVO, GLDI, DSLV, OUNZ, DGL, DBS, GLTR, DGZ, DGLD, AGOL, DBP, WITE, TBAR, USV, UBG, JJP, BAR, GYEN, GEUR, BARS, RGRP, BLNG
- Precious metals mining ETFs: GDX, NUGT, DUST, SIL, GLDX, SLVP, RING, SGDM, PSAU, GDXX
Wed, Feb. 11, 8:28 PM
- Yamana Gold (NYSE:AUY) -0.3% AH after reporting an unexpected Q4 loss, marked by impairment charges against the carrying values of its Jacobina mine in Brazil and its Minera Florida mine in Chile.
- Even so, AUY formally decided to move forward with building a mine at its Cerro Moro gold and silver project in Argentina.
- AUY says it produced a record 405.6K gold equiv. oz. in Q4, up 33.5% from the year-ago quarter; all-in sustaining costs rose to $774/oz. from $754 a year ago.
- Q4 copper production fell to 44M lbs. from 45.6M lbs. in Q4 2013.
- For 2015, AUY forecasts a 9% Y/Y increase in gold production to 1.3M oz., as well as 9.6M oz. of silver and 120M lbs. of copper; sees 2016 gold production rising by another 5% to 1.37M oz.
Wed, Feb. 11, 6:18 PM
Wed, Feb. 11, 5:59 PM
- Yamana Gold (NYSE:AUY) says it will proceed with the construction of the Cerro Moro gold and silver mining project in Argentina.
- The current plan indicates average annual production in the first three years of full production of 135K oz. of gold and 6.7M oz. of silver.
- AUY estimates total project capital for the life of mine of $398M, including $265M in initial capital and $133M life of mine sustaining capital.
Wed, Feb. 11, 4:48 PM
Yamana Gold Inc is a gold producer engaged in gold mining activities including exploration, extraction, processing & reclamation. It has metal properties & land positions throughout the Americas including in Brazil, Chile, Argentina, Mexico and Canada.
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