ALIAF - Best Gold Stocks of 2019 on the TSX
While gold managed to rally from the lows seen throughout most of 2018, the yellow metal only saw slight gains, climbing just under 1 percent in the first quarter of 2019.
However, despite a slow rebound, many gold companies managed to make progress and increased earnings from their assets. Now that Q1 has come to a close, the Investing News Network has rounded up the best gold stocks on the TSX that have seen the biggest share price gains year-to-date this quarter.
The list below was generated on April 9, 2019 using TradingView. All companies listed had market caps above C$50 million at that time.
1. Wallbridge Mining (TSX:WM)
Current share price: C$0.43; year-to-date gain: 168.75 percent
Founded in 1996, Wallbridge Mining has several assets in Sudbury, Ontario, along with two projects in Quebec. Additionally, it has an 11.5-percent stake in Carube Copper (TSXV:CUC), which gives the company access to copper and gold exploration activity in BC and Jamaica.
On February 21, the miner announced that it had intersected 12.70 grams per tonne gold over 2.71 metres within newly discovered broad gold mineralization 300 metres Southwest of the Fenelon deposit in Quebec, Canada.
“These results are significant as they continue to show the considerable potential that exists to increase gold mineralization beyond the known zones at Fenelon along the four-kilometer strike length of the gold-bearing corridor,” said Marz Kord, president and CEO.
Towards the end of the quarter, the company intersected multiple structures with gold mineralization in new area 51 discovery at Fenelon.
2. Tanzanian Royalty (TSX:TNX)
Current share price: C$1.01; year-to-date gain: 110.42 percent
Tanzanian Royalty’s main area of interest is the exploration and development of gold properties, with its assets residing in the United Republic of Tanzania. Its advanced stage projects include the Buckreef, Kigosi project and Itetemia gold projects.
At the beginning of the quarter, the miner began Phase 1 of a planned three-phase drill program with the goal of increasing the robust economics of the Buckreef project.
On March 25, the company released the first drill results from Phase 1, announcing that it had intercepted 16 meters at 6.72 grams per tonne gold and 3 meters at 25.17 grams per tonne silver.
3. Eldorado Gold (TSX:ELD)
Current share price: C$6.19; year-to-date gain: 54.75 percent
Eldorado Gold is a mid-tier gold producer that also has base metal assets and 25 years of experience building and operating mines in Europe, Asia and the Americas. As of September 30, 2018, the miner’s proven and probable reserves totalled 16.9 million ounces of gold.
Towards the end of February, the company announced its 2018 year-end and fourth quarter financial and operational results, revealing that revenue was up and it had exceeded its original guidance for the year.
Eldorado’s original 2018 guidance was 290,000 to 330,000 ounces of gold, but the company achieved more than expected, with annual production reaching 349,147 ounces of gold. The miner also announced that total revenue for the year was C$459 million, compared to C$391.4 million in 2017.
Finally, at the end of Q1 this year, Eldorado announced that it had achieved commercial production at its wholly-owned Lamaque mine in Quebec. Lamaque is forecast to produce 100,000 to 110,000 ounces of gold in 2019.
4. Alacer Gold (TSX:ASR)
Current share price: C$3.62; year-to-date gain: 43.65 percent
Alacer is a leading low-cost intermediate gold producer, with an 80 percent interest in the world-class Çöpler gold mine located in Turkey.
The company notes that with the recent completion of a sulfide plant, the Çöpler mine will produce over 3.5 million ounces of gold at first quartile all-in sustaining costs (AISC), which will generate a free cash flow for the next two decades.
On February 5, the miner released 2018 year-end operating and financial results.
5. Alamos Gold (TSX:AGI)
Current share price: C$6.80; year-to-date gain: 38.49 percent
Alamos’ core focus is to be a leader in the low-cost production of gold, a leader in financial performance, and a leader in delivering shareholder value. In 2017, the miner completed US$250 million equity financing and subsequently retired US$315 million senior secured notes. That same year, Alamos acquired Richmont mines and its Island gold mine, located in Ontario, Canada.
On February 20, the company announced that during Q4 2018, it produced 125,600 ounces of gold, sold a record 131,161 ounces of gold at an average realized price of US$1,244 per ounce and incurred total cash costs of US$770 per ounce — its lowest in 2018.
At the beginning of March, Alamos also obtained an operating permit from the Turkish Department of Energy and Natural Resources, which allowed for the start of earthworks on the open pit area of the Kirazl? project. Kirazli is expected to produce over 100,000 ounces of gold during its first full year of production.
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Securities Disclosure: I, Nicole Rashotte, currently hold no direct investment interest in any company mentioned in this article.