And the gold winners are...
There’s no question that gold is hot right now. The precious metal is priced at above US$1,500/oz — a more than 6-year high — and when priced in Aussie dollars it’s at its highest level ever. The excitement around the metal has spurred some gold analysts to make big calls this week— some even argue that gold is headed towards $10,000/oz.
But if big returns are what you’re after, dare I say gold — as a commodity — is not where they will be found.
Even hotter than gold has been a handful of ASX-listed gold juniors — in particular those with projects in Western Australia’s Murchison mining district, which is shaping up to be a bit of a winner for junior explorers.
Spectrum Metals (ASX:SPX) has been the standout in the region this year, its share price gaining more than 2500% since February.
Exploration at the company’s Penny West Gold Project in the region’s Youanmi gold province has delivered a series of results detailing high-grade gold mineralisation. Having acquired the project in just December last year, Spectrum has wasted no time in converting the project’s potential to shareholder gains with the company’s market capitalisation rising from $5 million to $150 million in a matter of months.
Right next door to Spectrum’s Penny West Gold Project, is the Penny South Gold Project, which as announced yesterday is being acquired by Aldoro Resources (ASX:ARN) as part of the company’s acquisition of Altilium Metals.
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