Categories: General Market Commentary / Precious Metals
Topics: General Market Commentary / General Precious Metals

Junior and mid-tier gold producers leading growth: Haywood

Junior and mid-tier gold producers leading growth: Haywood

Valentina Ruiz Leotaud

Investment dealer Haywood Securities has just made public an industry report where it states that junior and mid-tier gold producers such as Alamos Gold, B2Gold Corp, and Endeavour are leading the way when it comes to strong balance sheets and cash-flow generating potential. Such potential is the result of asset purchases and organic growth, the latter being a consequence of the very recent gold price increase.

The Canadian firm explains that a sector reshaping that is seeing asset sales, refocused capital development, and mine plan modifications has created an environment that benefits small and mid-size companies.

In contrast, senior producers trying to reshape their balance sheets and operational figures are showing stagnant production profiles. “We believe this evolution in production profile combined with limitations on exploitable assets for future development will again lead to further upward consolidation as mid-tier and senior gold producers look to maintain and/or grow further production,” the document reads.

To continue reading please click link http://www.mining.com/junior-and-mid-tier-gold-producers-leading-growth-haywood/