Shanta Gold Ltd (AIM: SHG, OTC: SAAGF) continues its impressive streak, reports house broker Liberum, as both Tanzanian mines surpassed expectations in the recent quarter.
The company’s forecast for gold production up to December 2023 remains at 90-98,000oz. However, Liberum anticipates the company will slightly exceed this range.
The Singida mine particularly stood out, achieving an exceptional gold recovery rate of 97.4%. This hints at promising prospects for the mine’s expected lifetime, notes the broker.
Despite ramping up exploration costs in West Kenya, Shanta managed to reduce its net debt to US$4.9 million, a significant decrease from US$8.7 million just a quarter ago.
Liberum maintains a ‘Buy’ recommendation with a 21p target price.”
