LRTNF - Pure Gold: A Much Better Quarter In Q2

• Pure Gold released its preliminary Q2 results last week, reporting quarterly production of ~6,300 ounces, a 48% increase sequentially.
• The increased production was driven by much higher head grades and slightly higher gold recovery rates, with improved development rates at the Main Ramp.
• After a 60% decline from its highs, Pure Gold's valuation has become more reasonable, and it's possible the stock could bounce as it's nearing short-term oversold levels.
• However, I think there are better reward/risk propositions elsewhere in the sector, with the current valuation still not baking in a large margin of safety.

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