Latest news with #GreatlandResources
Daily Mail
2 days ago
- Business
- Daily Mail
Gold prices soar to record highs after Trump tariffs
Gold prices soared to record highs after Donald Trump slapped tariffs on bars of the precious metal. In a shock move that blindsided the bullion market, US officials ruled that one kilo and 100 ounce bars should be subject to import duties. US gold futures hit a record of 3.535 per troy ounce in Friday trading after an FT report revealed the plans. Markets expect the price to continue to rise, prompting shares in London-listed miners Fresnillo and Greatland Resources to rise by 1.6 per cent and 3.8 per cent respectively. Reports that gold bars will be hit by tariffs were a huge blow to Switzerland, the world's largest gold refining hub, which was already reeling from a 39 per cent levy imposed by Trump. One-kilo bars are the most popular form of the metal traded on Comex, the biggest gold futures market, and make up most of Switzerland's bullion exports to the US. Switzerland exported £45.7billion of gold to the US in the 12 months to June. Zain Vawda, an analyst at Market Pulse, said. 'The move could also create supply bottlenecks which could push up the price of spot gold.' Bob Haberkorn, market strategist at RJO Futures, said: 'I think you will see elevated safe-haven demand and heightened uncertainty on US gold supply. I expect gold to remain elevated until more information comes forth from the Trump administration on the 39 per cent tariffs relating to gold kilo bars.'
Daily Mail
4 days ago
- Business
- Daily Mail
Donald Trump tariff sends gold to record high
Gold prices soared to record highs after Donald Trump slapped tariffs on bars of the precious metal. In a shock move that blindsided the bullion market, US officials ruled that one kilo and 100 ounce bars should be subject to import duties. US gold futures hit a record of 3.535 per troy ounce in Friday trading after an FT report revealed the plans. Markets expect the price to continue to rise, prompting shares in London-listed miners Fresnillo and Greatland Resources to rise by 1.6 per cent and 3.8 per cent respectively. Reports that gold bars will be hit by tariffs were a huge blow to Switzerland, the world's largest gold refining hub, which was already reeling from a 39 per cent levy imposed by Trump. One-kilo bars are the most popular form of the metal traded on Comex, the biggest gold futures market, and make up most of Switzerland's bullion exports to the US. Switzerland exported £45.7billion of gold to the US in the 12 months to June. This would be subject to a further £18billion in levies under Switzerland's 39 per cent tariff rate – which came into effect on Thursday. Swiss officials this week met US counterparts in an unsuccessful bid to have the tariff rise overturned. It was unclear yesterday whether other types of gold, such as the 400 troy ounce bar used in London, will be subject to tariffs. It was also not clear when levies on gold would be imposed and if they applied to exports from all countries. Susannah Streeter, head of money and markets at Hargreaves Lansdown, said: 'Even safe-haven assets are not immune to the volatility unleashed in the confusion of the tariff age. 'Gold had been shining as a shelter amid the trade storm, but the bullion market has been blindsided by a specific threat of duties on gold bar imports into the US, sending US futures prices soaring to record levels. 'But it's also a reminder for investors to remain wary,' she added. 'Investing in gold is far from a one-way bet. It's often risen in times of economic or political crisis. It has also a history of losing its lustre. 'The tariff will definitely disrupt gold trade and Switzerland will bear the brunt of it.', Zain Vawda, an analyst at Market Pulse, said. 'The move could also create supply bottlenecks which could push up the price of spot gold.' Bob Haberkorn, market strategist at RJO Futures, said: 'I think you will see elevated safe-haven demand and heightened uncertainty on US gold supply. I expect gold to remain elevated until more information comes forth from the Trump administration on the 39 per cent tariffs relating to gold kilo bars.'
West Australian
5 days ago
- Business
- West Australian
Greatland Resources issued query by the ASX after its July downgrade that erased investor smiles
The share market operator has ordered Greatland Resources to explain why output forecasts were slashed not long after its ASX debut, causing $1 billion of shareholder value to evaporate in one day. The gold miner's share price had been riding as high as $7.80 following a stellar start to life as an Australian Securities Exchange-listed company at the end of June. This followed an initial public offering at $6.60. But those gains would be obliterated when Greatland downgraded production guidance from its Telfer mine in WA's north for the 2026 financial year. Its stock plummeted 24 per cent on July 29 to finish the day's trade at $5.24. Greatland had already faced accusations Australia's corporate cop was on its back about the downgrade, an accusation which the company has so far rejected, when on Friday the ASX published a 'please explain' letter. Greatland had a production target for financial year 2026 of between 300,000 ounces and 340,000oz of gold in its prospectus to list on the ASX, which was cut to between 260,000oz and 310,000oz on July 29. A higher all-in sustaining cost forecast was also flagged July 29 — from a range of $2,400/oz and $2,600/oz to $2,400/oz and $2,800/oz. The ASX grilled Greatland over whether anyone knew the surprise downgrade was coming at the time of its listing. 'The updated production target was not determined until after a meeting of the company's board of directors, which was held after market close on 28 July 2025 to approve the FY26 budget,' Greatland stated in response. 'The updated production target was finalised after the board meeting and announced on 29 July 2025 in the company's June 2025 quarterly report.' On costs, Greatland said it believed the band increase was not 'material'. 'The company did not consider that a reasonable person would expect the updated cost guidance Information to have a material effect on the price or value of its securities, given the difference in the mid-points of the AISC forecast ranges only increased by approximately 4 per cent.' Greatland is backed by Fortescue heavyweights including Andrew and Nicola Forrest, Elizabeth Gaines and Mark Barnaba. The ASX sent the letter to Greatland a day after Australian Financial Review's Street Talk column reported that the Australian Securities and Investments Commission had been asking questions about what the company and its advisers knew at the time of the float. Taking questions from media at Diggers & Dealers on Tuesday about whether ASIC had spoken to the Greatland, Mr Day said: 'We weren't contacted to comment on that. If we had been, we would have said no.' An ASIC spokeswoman declined to comment when asked by The West Australian there had been any kind of engagement with Greatland. Asked more about the downgrade and the market's reaction, Mr Day kept things brief. 'I respect the market, but what we what we focused on was just making sure that we gave a clear update, and we're really confident that we can achieve that update.' Greatland shares are yet to recover from the July 29 bloodbath — they traded at $5.21 each by 12.50pm. The formerly London-based company, which has a market capitalisation of about $3.5b, bought its flagship Telfer mine and the neighbouring Havieron project for up to $US475m from Newmont Corporation in September.
News.com.au
5 days ago
- Business
- News.com.au
Monsters of Rock: Greatland responds to ASX's burning questions, Chinese backer tips $50m into Liontown
Greatland Resources responds to burning questions on FY26 guidance Chinese lithium refiner joins Aussie government as strange bedfellows in $316m Liontown raise Miners float higher in big week for gold and critical minerals Monsters of Rock covers the big news in the large cap ASX mining space. In the quiet morning fog of the days post Diggers and Dealers, two of the mid-tier mining space's most closely watched stocks have shifted under the cover of darkness to respond to some burning questions. One is Greatland Resources (ASX:GGP), which today dropped an extensive response to ASX queries about the radical shift in its guidance versus prospectus forecasts from an ASX IPO that saw its shares charge to $7.30 on listing in late June. The Andrew Forrest backed owner of the Telfer gold mine is now trading at just $5.12, its lowest point since adding Australia to its primary London listing. In essence, Greatland told the ASX in a response to a price and volume query that the miner, which bought the operations and 70% of the Havieron discovery it didn't own from Newmont for US$475m last year, only made the decisions that resulted in its changing production, capex and cost expectations after reviewing its operations and plans in July. The release of its June quarterly report and guidance, which saw FY26 gold output cut from 320-360,000oz to 260-310,000z and cost guidance changed from $2400-2600/oz to $2400-2800/oz, prompted a 24% one day decline in its share price. In a detailed response to questions on Friday, Greatland said information in its ASX prospectus advised investors it would review operations in a way that could incur additional costs. It also stated that updates to its production target, operating cost forecast and capital costs were not determined until after a board meeting on July 24, with its decision based on a FY26 budget prepared between the start of a management review on July 10 and July 23. "The proposed FY26 budget board paper and proposed updated production target information, updated capital cost information and updated operating cost information, was first provided to the Board on Wednesday, 23 July 2025," the $3.4 billion company said. No one's spoken to us... Greatland MD Shaun Day addressed the controversy fronting up to media at Diggers and Dealers in Kalgoorlie on Tuesday. He said the prospectus info had been based on the data the company had at its disposal at the time. "That was the due diligence process kind of leading to that prospectus. We were comfortable with it and you saw the March quarter, it was really strong," Day said. "Post FY25, we provided an update." Day also denied a claim made in an AFR article that Greatland had been contacted by Australia's corporate watchdog ASIC. He also believes the company has delivered productivity gains at site despite lifting its operating cost forecast, noting the change was proportionately smaller than the decrease in its planned production rate. It's come amid concerns inflation is starting to creep up in the gold sector and swallow margins. "Of course there's some inflation in the sector, but we've more than offset that by the productivity improvements, which we think we maintain into FY 26," Day said. Liontown gets Canberra backing The other big one was the revelation Liontown Resources (ASX:LTR) had hit up the market for fresh equity, including a $50m tip from Aussie taxpayers. Only a few days after Resources Minister Madeleine King indicated government equity investments in critical minerals projects were potentially on the table, the National Reconstruction Fund – previously a backer of rare earths developer Arafura Rare Earths (ASX:ARU) – picked up a sizeable chunk of a $316m raise to provide a cash buffer for the Kathleen Valley lithium mine owner. The raising has seen a small tyre-fire put out by LTR boss Tony Ottaviano, apologising for comments he made that the company's largest shareholder was turning focus from Aussie lithium to US rare earths and fossil fuels. That's none other than Gina Rinehart's Hancock Prospecting, which had around 18% of the company before Thursday's 73c per share raise. Hancock, which initially acquired close to 20% of the stock in a 2023 raid that killed a $6.6bn takeover by US lithium giant Albemarle, was reportedly not participating in this week's cash call. The Kathleen Valley mine opened this year, but the need for additional cash has been a live issue with spodumene prices currently in the order of US$775/t and trading as low as US$610/t as recently as mid-June. Intriguingly, a $50m placement to China's Canmax Technologies, also a major shareholder in WA junior Global Lithium Resources (ASX:GL1), has been added to the original $266m placement. It's subject to Liontown shareholder approval and Chinese outbound investment sign-off. That means LTR has $472m to play with ahead of a potential $20m from a share purchase plan to retail investors. It comes after Liontown boss Tony Ottaviano floated the potential entry of Chinese capital into the business in July despite previous comments about the company's intention to supply markets outside the major lithium refiner. "I'm very pleased with the strong support we've received for this Placement, which attracted significant demand from high-quality institutional investors, both in Australia and offshore," Ottaviano said in comments to the market today. "Despite challenging market conditions, the backing from the equity markets, who have contributed 84% of the money raised, alongside support from the National Reconstruction Fund Corporation, underscores the quality, long-term value, and strategic importance of Kathleen Valley to the Australian economy and national interest. "The investment in Liontown by Canmax, a world leading producer of lithium chemicals, in the Conditional Placement reflects confidence in the long-term value of the Kathleen Valley Operation, and we think is a strong positive indicator for the demand outlook of lithium products." The capital raising will "support the ramp up and transition to 100% underground operations" at KV, Ottaviano said. Liontown shares fell 7.1% after the placement was finalised on Friday morning. The ASX 300 Metals and Mining index rose 5.45% over the past week. Which ASX 300 Resources stocks have impressed and depressed? Making gains Catalyst Metals (ASX:CYL) (gold) +27% Westgold Resources (ASX:WGX) (gold) +19.9% WA1 Resources (ASX:WA1) (niobium) +19.9% Lynas (ASX:LYC) (lithium) +19.6% Eating losses Sims Metal Management (ASX:SGM) (metal recycling) -3.6% IperionX (ASX:IPX) (titanium) -2.2% Develop Global (ASX:DVP) (copper) -0.9% Bluescope Steel (ASX:BSL) (steel) -0.6% It was a good week for miners in general, with gold heading back towards US$3390/oz and critical minerals plays like Lynas (ASX:LYC) buoyed by news
West Australian
7 days ago
- Business
- West Australian
Diggers & Dealers 2025 live: Final day of annual mining forum underway in Kalgoorlie-Boulder
The annual mining conference is marching into its third and final day in Kalgoorlie-Boulder. Appearances by the State Mines Minister and Federal Resources Minister brought the battle for more rare earths and downstream production woes into the fore. Greatland Resources clarified some guidance queries, meanwhile Liontown Resources and PLS (Pilbara Minerals) lamented a very tough lithium market. Battery metals miner Chalice Mining is up to present today, as well as Gold Road Resources and Gold Fields. This evening is also the WesTrac Gala Dinner, where awards for best Digger, and Dealer, of the year will be announced. Stay tuned for rolling coverage of the conference's final day. Tuesday saw two lithium miners united in their belief that markets for the battery mineral need to be improved: And it looks as though the ailing lithium hydroxide refinery in Kwinana will keep on keeping on, despite minority JV partner IGO writing its entire value down to zero: Federal Resources Minister Madeleine King on Tuesday suggested Australia could replicate the US government's move to grab a big shareholding in a rare earths company.
