GMD’s five-year strategy outlook has delivered 10% more gold than our base case, with significantly higher output over the next two years. The capital cost to achieve this was greater than we anticipated, however this was offset by lower AISC in the five-year plan. We see considerable upside to the base case in the medium-term, with a potential new mill at Leonora presenting GMD with options to push production to +400kozpa. Updating our forecasts to match the five-year plan drives upgrades to our medium-term earnings upgrades and increases our price target 8% to A$2.70. We reiterate our BUY rating.
To access the full report please log in under the Client Area at the bottom of this page.
Argonaut’s Client Area allows you to view delayed share prices, access Argonaut’s wealth of Research as well as create custom portfolios and set up company watch lists.
If you would like to access our research please contact us to create an account.