Rising production spurs their appeal

Article Excerpt

ALAMOS GOLD $4.63 (Toronto symbol AGI; TSINetwork Rating: Speculative) (604-681-2802; www.alamosgold.com; Shares outstanding: 266.3 million; Market cap: $1.8 billion; Dividend yield: 0.6%) owns the Mulatos and El Chanate mines in Mexico, and the Young-Davidson and Island mines in northern Ontario. The company also has a number of development projects in Turkey, Mexico and Canada. These include its advanced-stage Kirazli gold project in Turkey. Production at a new mine could start as early as 2020. Its output is forecast at 104,000 ounces of gold per year. Late last year, Alamos bought Richmont Mines (symbol RIC on Toronto) for $929 million in Alamos shares. Richmont’s main asset is the Island Gold mine, northeast of Wawa, Ontario. That facility was expected to produce nearly 100,000 ounces of gold for 2018. The Island Gold deposit could hold an additional 1.7 million ounces of gold. Richmont released a preliminary economic assessment (PEA) in May 2017. That higher output is based on a proposed $28 million expansion project. It could lift the…

You are trying to access subscriber-only content.

To read this article, you may subscribe or sign in.
If you are already a subscriber, log in here.

If you wish to become a subscriber, click here. Or you may enjoy access to all our publications when you become a Member of Pat McKeough's Inner Circle Pro.