New Gold on BNN this morning New Gold Executive Chairman Randall Oliphant was a guest on BNN Commodities this morning.
Watch the video above for the full interview https://www.pennyminingstocks.com/new-gold-big-plans-rainy-river/
Discussion ranged from gold’s strong start to 2016, Canada selling its gold reserves, and New Gold’s operations.
New Gold is very excited about the potential of its Rainy River mine in Northwestern Ontario which is under construction. The mine will cost over $1 billion to build but is expected to approximately double New Gold’s production when up and running.
Production is expected to go down this year and debt up in 2016 with construction costs. At current gold prices New Gold expects to internally finance all construction costs.
Royal Gold has a stream on Rainy River (6.5%) which will drop in half after a certain threshold is achieved. Royal Gold apparently out bid rival Franco Nevada on this stream.