At the time of writing, OceanaGold’s share price is sitting at $3.88, up 0.64%.
OceanaGold’s update on Philippines operations
The news of gold’s spot price falling nearly 1.8% on Monday — the highest intraday fall in a year, seemed to overshadow OceanaGold’s Friday announcement on the update of its operations at the Didipio Mine.
OceanaGold rebutted claims saying it was untrue that company had halted its operations.
According to the announcement, OGC lodged its application for renewal of its Financial or Technical Assistance Agreement (FTAA) with the Philippine Government in March 2018.
On 20 June 2019, the regulatory authority, Mines and Geosciences Bureau (MGB), said operations at the Didipio could continue pending the confirmation of the FTAA renewal by the government.
The Didipio Mine brings about a lot of job opportunities for locals in Barangay, as well as surrounding communities. Directly employing 1,500 workers of which 95% are Philippine nationals.
OceanaGold’s share price outlook
The outlook of OceanaGold is subject to a lot of variables — the price gold for one and its operational status as another.
As it stands OGC, has a market cap of around $271.4 million. That’s healthy for a company such as OceanaGold.
But as for OceanaGold’s share price, investors can only hope that it rides this wave of global instability the way Gold prices have done so recently.
Nonetheless, as uncertainty grows, it’s expected that more and investors will jump to gold. Before you do, make sure you do your own extensive research first.
For Money Morning
PS: In a brand-new Money Morning report titled ‘Three Reasons to Add Gold to Your Portfolio’, Greg reveals three reasons why gold could be a valuable addition to your portfolio. Read more about it here for free.