Update: TGO hits targets, DZP hafnium aids upside
The Tomingley Gold Operation (TGO) hit its FY15 production target and mining has followed plans with production reconciling well with resource models. Coupled with a significantly weaker Australian dollar and well managed costs, the TGO generated A$23.7m in cash flow in FY15 (after operating and development costs), A$15m of which was invested straight back into the Dubbo Zirconium Project (DZP). In our view, the market’s slight negative reaction to Alkane’s Q4 results relates to a broad pessimism towards commodities and a view on quarterly financials rather than considering the full-year performance data – which shows the TGO to be a solid, profitable gold mine operating in line with expectations.Alkane Resources is a mining and exploration company with a focus on gold, copper, zirconium, hafnium, niobium and rare earth elements. Co. has two reportable segments, being gold operations and the exploration and evaluation of rare metals. Co.'s projects and operations are located in the Central West of New South Wales in eastern Australia. Primary among them are the Tomingley Gold Operations, a medium-sized gold operation near Dubbo in which Co. is engaged in the production of gold. Co. is also developing the Dubbo Zirconia Project, which will produce zirconium, hafnium, niobium and rare earths.
Edison is an investment research and advisory company, with offices in North America, Europe, the Middle East and AsiaPac. The heart of Edison is our world renowned equity research platform and deep multi-sector expertise. At Edison Investment Research, our research is widely read by international investors, advisors and stakeholders. Edison Advisors leverages our core research platform to provide differentiated services including investor relations and strategic consulting.
.
Unfortunately, this report is not available for the investor type or country you selected.
Browse all ResearchPool reportsReport is subscription only.
Thank you, your report is ready.
Thank you, your report is ready.