New Gold Sees 2% Annual Increase in Q4 Gold Output
New Gold Inc. NGD reported a 2% year-over-year increase in gold production in the fourth quarter of 2024 to 80,438 ounces. This was attributed to the solid performance at the New Afton mine, which offset lower production at the Rainy River mine due to operational challenges encountered in December. It was the highest production quarter in 2024.NGD’s gold production reached 298,303 ounces in 2024, whereas its guidance was 300,000-310,000 ounces. Better-than-expected performance at New Afton was offset by loss of production at Rainy River due to the unexpected mechanical down-time.New Gold’s copper production was at 14.5 million pounds for the fourth quarter, up 20% year over year. The annual copper production totaled 54 million pounds, within the company’s guidance of 50-60 million pounds.New Gold’s Significant Achievements in Q4In the quarter, New Gold achieved milestones, including the initiation of commercial production at C-Zone, New Afton's fourth block cave and the extraction of the first ore from Underground Main at Rainy River. Both were completed ahead of schedule.Underground Main contains the majority of underground mineral reserves at Rainy River and will be an important source of higher-grade production in the coming years. It is expected to achieve the production target of 5,500 tons per day by 2027.Gold Production at New Afton Exceeds NGD’s ExpectationsThe New Afton mine produced 19,652 ounces of gold and 14.5 million pounds of copper in the fourth quarter. Gold production increased 19% and copper production rose 15% from the third quarter of 2024. The B3 cave performed per expectations.Following commercial production and crusher commissioning done earlier in the fourth quarter, production at C-Zone is ramping up per plans.For 2024, the total gold production at New Afton was 72,609 pounces, surpassing the company’s guidance of 60,000-70,000. Copper production in 2024 was 54 million pounds, within NGD’s stated range of 50-60 million pounds.Rainy River Misses NGD’s Target on Mechanical IssuesIn December, output at Rainy River was impacted by an unexpected mechanical downtime on the crushing and conveying system, leading to lower-than-expected throughput. Gold production was 60,786 ounces for the fourth quarter. Total gold production from the mine was 225,694 ounces in 2024, lower than New Gold’s expectation of 230,000-240,000 ounces.New Gold FY24 Results to Gain on Higher Production & PricesNew Gold anticipates consolidated all-in sustaining costs for 2024 to be at the low end of its guidance of $1,240-$1,340 per gold ounce sold on a by-product basis. The company will provide further details when it releases its fourth quarter and 2024 results after market close on Feb. 19, 2025. Improved production numbers, and upbeat gold and copper prices are expected to get reflected in NGD’s results.The Zacks Consensus Estimate for NGD’s fiscal 2024 revenues is pegged at $961 million, indicating year-over-year growth of 22%. The estimate for earnings is at 18 cents, which suggests a 157% surge.NGD Stock Price PerformanceShares of New Gold have soared 106% in the past year compared with the non-ferrous mining industry's 21.5% growth. Image Source: Zacks Investment Research Q4 Performance of NGD Key CompetitorEquinox Gold Corp. EQX announced a fourth-quarter 2024 gold production of 213,960 ounces, marking its strongest quarterly production. EQX’s record gold production in the fourth quarter was driven by several of its mines producing their strongest quarter in the company's history.Equinox Gold reported a preliminary annual gold production of a record 621,870 ounces for 2024. The figure was within the company’s guidance of 590,000-675,000 ouncesNGD Zacks Rank & Stocks to ConsiderNew Gold currently has a Zacks Rank #3 (Hold).Some better-ranked stocks from the basic materials space are Carpenter Technology Corporation CRS and Fortuna Mining Corp. FSM. CRS sports a Zacks Rank #1 (Strong Buy) at present and FSM carries a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.Carpenter Technology has an average trailing four-quarter earnings surprise of 14.1%. The Zacks Consensus Estimate for CRS’s fiscal 2025 earnings is pegged at $6.77 per share, suggesting 42.8% year-over-year growth. Its shares have skyrocketed 187% in a year.Fortuna Mining has an average trailing four-quarter earnings surprise of 53.6%. The Zacks Consensus Estimate for FSM’s 2025 earnings is pegged at 56 cents per share, indicating year-over-year growth of 6.6%. FSM shares gained 24% last year.Only $1 to See All Zacks' Buys and SellsWe're not kidding.Several years ago, we shocked our members by offering them 30-day access to all our picks for the total sum of only $1. No obligation to spend another cent.Thousands have taken advantage of this opportunity. Thousands did not - they thought there must be a catch. Yes, we do have a reason. We want you to get acquainted with our portfolio services like Surprise Trader, Stocks Under $10, Technology Innovators,and more, that closed 228 positions with double- and triple-digit gains in 2023 alone.See Stocks Now >>Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Carpenter Technology Corporation (CRS): Free Stock Analysis Report New Gold Inc. (NGD): Free Stock Analysis Report Fortuna Mining Corp. (FSM): Free Stock Analysis Report Equinox Gold Corp. (EQX): Free Stock Analysis ReportTo read this article on Zacks.com click here.Zacks Investment ResearchWeiter zum vollständigen Artikel bei Zacks
Quelle: Zacks
