https://www.miningweekly.com

Metals X hedges gold

28th August 2015

By: Esmarie Iannucci

Creamer Media Senior Deputy Editor: Australasia

  

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PERTH (miningweekly.com) – ASX-listed Metals X has entered into a hedging programme for 245 000 oz of gold, with scheduled deliveries until September 2018.

The gold would be priced at A$1 631.23/oz.

“Metals X is very pleased by the pricing that was achieved upon execution of the hedging facility. Hedging a component of our future gold production provides various benefits, including cash flow certainty, and enables Metals X to continue to actively invest in further growth,” said executive director and CEO Peter Cook.

He noted that the implementation of a modest hedging programme took advantage of the current strong Australian gold price and secured a portion of cash flow.

The hedging amount represented some 21% of Metals X's production guidance out to 2018.

The company recently finalised the acquisition of three gold projects, including the Georges Reward project for A$4.5-million, the Grosvenor gold project for 18-million shares and the Mt Henry gold project for 22-million shares.

The Mt Henry operation would be commissioned as a bolt-on operation to the currently operating Higginsville mine and could add some ten years to the project's mine life.

The Grosvenor project was expected to go into production by late 2016.

Edited by Chanel de Bruyn
Creamer Media Senior Deputy Editor Online

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