Join today and have your say! It’s FREE!

Become a member today, It's free!

We will not release or resell your information to third parties without your permission.
Please Try Again
{{ error }}
By providing my email, I consent to receiving investment related electronic messages from Stockhouse.

or

Sign In

Please Try Again
{{ error }}
Password Hint : {{passwordHint}}
Forgot Password?

or

Please Try Again {{ error }}

Send my password

SUCCESS
An email was sent with password retrieval instructions. Please go to the link in the email message to retrieve your password.

Become a member today, It's free!

We will not release or resell your information to third parties without your permission.

New Gold stock sinks after death at Rainy River mine in Ontario

 Trevor Abes Trevor Abes , The Market Online
0 Comments| July 24, 2024

{{labelSign}}  Favorites
{{errorMessage}}

  • New Gold (TSX:NGD), a Canadian copper and gold-producing stock, is reporting a fatality at its Rainy River mine in northwestern Ontario early Wednesday morning
  • Management has voluntarily suspended operations and is working with authorities on an ongoing investigation
  • New Gold is an intermediate mining company with a portfolio of two producing assets in Ontario and British Columbia
  • Though down by 0.33 per cent on the news, the copper and gold stock has added 87.04 per cent year-over-year and 63.78 per cent since 2019

New Gold (TSX:NGD), a Canadian copper and gold-producing stock, is reporting a fatality at its Rainy River mine in northwestern Ontario.

The employee in question was operating equipment in the open pit early Wednesday morning. Management has since voluntarily suspended operations, according to Wednesday’s news release, and is working with authorities on an ongoing investigation.

The case for investing in New Gold stock today

The tragic news is barely weighing on shares during Wednesday’s trading session, showing how the market has warmed to New Gold’s robust production growth (slide 5), which is expected to approximately double to 600,000 ounces of gold equivalent per year from 2022 to 2026 while gradually decreasing costs.

Though free cash flow is projected to minimize capital expenditures into the next decade (slide 8) – should gold hold at or above the US$2,000 per ounce mark – the company isn’t yet profitable on a net income basis. For this reason, readers should wait until cost reduction measures show up in the balance sheet and fortify this growth story before making an allocation.

About New Gold

New Gold is an intermediate mining company with a portfolio of two producing assets in Ontario and British Columbia.

The gold and copper stock (TSX:NGD) is down by 0.33 per cent, trading at C$3.02 per share as of 12:54 pm ET. The stock has added 87.04 per cent year-over-year and 63.78 per cent since 2019.

Join the discussion: Find out what everybody’s saying about this Canadian gold and copper stock on the New Gold Inc. Bullboard, and check out the rest of Stockhouse’s stock forums and message boards.

The material provided in this article is for information only and should not be treated as investment advice. For full disclaimer information, please click here.

(Top photo of the Rainy River mine in Ontario: New Gold Inc.)




{{labelSign}}  Favorites
{{errorMessage}}