Gold Road Share Price Rises on Quarterly Report

The share price of mid-tier Aussie gold producer Gold Road Resources Ltd [ASX:GOR] is well in the green today, up 12.2% at time of writing to $1.14.

GOR had been in an uptrend for the first half of 2019. The first gold bar from their half-owned Gruyere Tier 1 gold mine caused a significant surge during July.

Since August, however, the share price has been on a downward slope:gold road trading view


During this time, GOR and their partner Gold Fields Ltd [NYSE:GFI] have been ramping up the Gruyere mine.

Gold Fields also sold a 9.9% stake in GOR during this time as part of a debt reduction strategy, which shed around 27 cents off GOR shares.

Yesterday, however, GOR released their results for the September quarter, revealing their original predicted guidance for Gruyere in 2019 has been reaffirmed and expected to be at the upper end.

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Quarterly highlights

Other highlights from the September quarterly report include:

  • Near 30,000 ounces of gold produced at Gruyere
  • All-in Sustaining Cost (AISC) unchanged for next quarter, at $1,050 to $1,150 per ounce
  • $65.3 million cash on hand
  • Bullion of $5.8 million on hand
  • 12,461 ounces of its share of gold from Gruyere sold at an average price of $2,052

GOR also joined both the ASX 200 and the VanEck Vectors Junior Gold Miners ETF in September 2019.

The update also discussed drilling at GOR’s wholly-owned Yamarna tenements.

Four RC holes in the Yaffler South prospects ‘intersected coherent and consistent mineralisations across one traverse’, revealing potential for the area.

How Gold Road will travel along the gold road

At time of writing, the gold price is US$1,489.83 per ounce, up around 0.4% from yesterday.

Volatility in the gold price has decreased recently, reflecting the apparent progression in the trade situation between China and the US.

And once the Brexit deal is out of limbo, the gold price could make a move.

If it’s a no deal, the price could be pushed up, which would have flow-on effects to the company’s share price.


Lachlann Tierney

For The Rum Rebellion

PS: In an exclusive new video interview, Greg Canavan talks all things gold with Richard Hayes, CEO of The Perth Mint. Click here to watch the full interview.

Lachlann Tierney is a writer for The Rum Rebellion and has been investing for nearly a decade. With a Masters of Science from the London School of Economics, he brings a sound understanding of global markets to his writing. Lachlann is interested in emerging technologies, energy solutions and helping people invest their money wisely. 

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