trending Market Intelligence /marketintelligence/en/news-insights/trending/_otnrgpnbachlrakwze-ig2 content esgSubNav
In This List

Wesdome's gold results are 'impressive,' analyst says

Blog

Insight Weekly: US stock performance; banks' M&A risk; COVID-19 vaccine makers' earnings

Blog

Insight Weekly: LNG exports surge; investors unfazed by inflation; neobanks drive VC funding

Blog

Essential Metals Mining Insights November 2021

Blog

[Infographic]: 2021 World Exploration Trends


Wesdome's gold results are 'impressive,' analyst says

Wesdome Gold Mines Ltd. hit high-grade gold results in recent drilling on the Kiena gold project dubbed "impressive" by Mackie Research analyst Stuart McDougall.

The results included as much as 25.95 g/t gold over 26 meters in the Kiena Deep zone that Wesdome discovered in 2016. The discovery helped propel Wesdome shares, which doubled after the discovery. They have since pulled back significantly.

McDougall said in a May 17 research note that he expects the latest drilling to support new resources at Kiena, a past-producing mine on care and maintenance, that is central to Wesdome's growth plans in the coming years.

McDougall projected Wesdome's gold production could jump to as high as 224,408 ounces of gold in 2021, about triple his estimate for 2018.

Kiena Deep resources have yet to be estimated, but McDougall projected them at 4.65 million tonnes grading 7.68 g/t gold, including 1.5 million tonnes of known and lower-grade gold resources. Wesdome has said it plans to update resources by the end of 2018.

McDougall maintained a buy rating on Wesdome with a target of C$5.10 per share.