Sign up Australia
Proactive Investors - Run By Investors For Investors

ASX slides as this gold play pumps up

The Australian All Ordinaries was in negative territory across all segments of the economy as sour overseas leads inspired a bearish reaction from investors. This gold play, however, continued to add value in the resilient precious metal sector.
ASX slides as this gold play pumps up

The Australian All Ordinaries closed 1.5% lower today at 4,964 points on widespread losses across all segments of the local economy.

Investors picked up negative overnight leads from Wall Street and translated them into losses of more than 2% for the energy, consumer discretionary and information technology sectors.


Mining stocks were among the more resilient plays in today’s session, with gold developer Blackham Resources (ASX:BLK) closing in the black at A$0.245 per share with strong new drilling results at its Matilda project in Western Australia.

This represents a 158% gain for the stock year on year.

The latest results at Matilda’s Galaxy deposit have demonstrated gold mineralisation below the initial open pit design with 3.1 metres at 9.6 g/t gold, 3.1 metres 2 g/t gold and 0.7 metres at 8.52 g/t gold.

These assays represent the completion of Definitive Feasibility Study drilling at Galaxy, where metallurgical testwork has now confirmed the free milling nature of the ore with recoveries up to 96%.

Galaxy remains open at depth, and a follow up 800-metre reverse circulation program is due to begin next week to test Galaxy’s potential as an underground mining target.

This bodes well for a resource upgrade in the near term, which could accelerate production plans at Matilda.


Major miners

BHP Billiton (ASX:BHP) up 0.7% to $14.88
Fortescue Metals Group (ASX:FMG) down 3.2% to $1.52
Newcrest (ASX:NCM) up 4.0% to $13.06
Rio Tinto (ASX:RIO) down 1.8% to $38.85

Energy or Oil and Gas

Oil Search (ASX:OSH) down 1.3% to $6.24
Santos (ASX:STO) down 8.0% to $2.86
Woodside Petroleum (ASX:WPL) down 2.1% to $26.87

Big 4 banks

ANZ Bank (ASX:ANZ) down 1.6% to $25.05
Commonwealth Bank (ASX:CBA) down 1.9% to $79.42
National Australia Bank (ASX:NAB) down 2.0% to $27.11
Westpac (ASX:WBC) down 1.0% to $31.16

Other banks, financials and industrials

AMP (ASX:AMP) down 2.9% to $5.31
Bank of Queensland (ASX:BOQ) down 1.9% to $13.08
Bendigo and Adelaide Bank (ASX:BEN) down 3.4% to $10.94
Macquarie Group (ASX:MQG) down 2.2% to $74.25
Suncorp (ASX:SUN) down 2.1% to $11.58
Telstra (ASX:TLS) down 1.1% to $5.37


JB Hi-FI (ASX:JBH) down 1.1% to $21.70
Wesfarmers (ASX:WES) down 1.4% to $39.40
Woolworths (ASX:WOW) down 1.4% to $22.93

Proactive Investors is a global leader reporting financial news, media, research and hosts events for listed emerging growth companies and investors across four continents.

View full . profile

Proactive Investors Australia Timeline

Related Articles

Casino chips
September 13 2016
NetPlay trades at a sharp discount to peers and yields more than 6%, covered broadly twice by earnings, according to house broker Shore Capital.
May 24 2016
Porta Communications looks to be succeeding in its bid to build a global integrated agency as the group's half year results underlined.
October 18 2016
Geographical expansion, product innovation and strategic partnerships continue to be well executed, said house broker finnCap

© Proactive Investors 2016

Proactive Investors Australia PTY LTD ACN:132787654 ABN:19132787654.