The world could see a gold-backed currency – and a sizable boost to the metal – this August. All after Brazil, Russia, India, China, and South Africa (BRICS) agreed to introduce it at the BRICS Summit. All of which could provide significant support to gold prices, and related stocks, such as Calibre Mining Corp. (TSX: CXB) (OTCQX: CXBMF), Barrick Gold Corporation (NYSE: GOLD) (TSX: ABX), Newmont Corporation (NYSE: NEM) (TSX: NGT), Franco Nevada Corp. (NYSE: FNV) (TSX: FNV), and Royal Gold Inc. (NASDAQ: RGLD).
However, even when introduced, it could take some time before its impact is felt in the market. In fact, according to Thorsten Polleit, chief economist at Degussa, as quoted by Kitco.com, “At first glance, a new transaction unit, backed by gold, sounds like good money – and it could be, first and foremost, a major challenge to the US dollar's hegemony.”
"For making the new currency as good as gold, a truly sound currency, it must be convertible into gold on demand. I am not sure whether this is what Brazil, Russia, India, China and South Africa have in mind," he added. "Using gold as money, the unit of account would be a true game changer, no doubt about it. It could lead to a sharp devaluation of many fiat currencies vis-à-vis the yellow metal (including the BRICS fiat currencies), and it could catapult up goods prices in terms of fiat currencies. It could be a shock to the global fiat money system. I am not sure that this is what the BRICS wish to achieve."
Look at Calibre Mining Corp. (TSX: CXB) (OTCQX: CXBMF), For Example
Calibre Mining Corp. announce operating results for the three and six months ended June 30, 2023 (all amounts are expressed in U.S. dollars).
Q2 and Year to Date 2023 Highlights
- Record consolidated quarterly gold production of 68,776 ounce
- 15% increase in gold production compared to Q2 2022 (59,723 ounces)
- Nicaragua gold production of 58,392 ounces and Nevada gold production of 10,384 ounces
- Record consolidated YTD gold production of 134,526 ounces
- 20% increase in gold production compared to YTD 2022 (111,621 ounces)
- Remain well on track to deliver full year guidance of 250,000 – 275,000 ounces
- Cash increased 32% to $77 million over Q1 2023
- Successfully and safely delivered expanded production capacity with a fourth new open pit mine in three years with ore deliveries from the Eastern Borosi mine to the Libertad mill;
- High-grade drill results within the Eastern Borosi District reinforce the potential for discovery and expansion;
- Consistent, broad width gold mineralization confirmed at Golden Eagle, USA;
- Initial drilling yielded high-grade results from the past producing Talavera deposit within the Limon Mine Complex, reaffirming the Company’s overall resource expansion and discovery potential;
- Near-mine and higher-grade drilling of the Palomino target at Pan Gold mine points to expansion potential;
- Published 2022 Sustainability Report demonstrating commitment to responsible mining business practices.
Darren Hall, President & Chief Executive Officer of Calibre, stated: “The team delivered another record quarter, with production of 68,776 ounces being ahead of budget, and positioning the Company well to deliver our full year production guidance of 250,000 - 275,000 ounces. Importantly, we generated strong free cash flow, increasing the Company’s cash balance 32% over Q1 2023 to $77 million.
During the quarter we announced numerous positive exploration results. Given our demonstrated ability to convert discovery into production, I expect our investment will continue to result in additional shareholder value as we leverage the significant surplus capacity available at the Libertad processing facility.
During the quarter we published our 2022 Sustainability report outlining our progress and achievements as we reaffirm our commitment to transparency, accountability, and responsible mining and business practices.
We believe Calibre continues to present a compelling investment opportunity as we responsibly self-fund discovery and resource expansion, grow production, build reserves, whilst concurrently building cash.”
Q2 and YTD 2023 Financial Results and Conference Call Details
Second quarter and YTD financial results will be released after market close on Wednesday, August 9, 2023, and management will be hosting a conference call on Thursday, August 10 to discuss the results and outlook in more detail.
Date: Thursday, August 10, 2023
Time: 10:00 a.m. (ET)
Webcast Link: https://edge.media-server.com/mmc/p/foapjc5f
Instructions for obtaining conference call dial-in numbers:
1) All parties must register at the link below to participate in the Calibre Mining Q2 conference call.
2) Register by clicking https://register.vevent.com/register/BI90d77f8cec114018bd6e9e389a376de5 and completing the online registration form.
3) Once registered you will receive the dial-in numbers and PIN number for input at the time of the call.
The live webcast and registration link can be accessed here and at www.calibremining.com under the Events and Media section under the Investors tab. The live audio webcast will be archived and made available for replay at www.calibremining.com. Presentation slides that will accompany the conference call will be made available in the Investors section of the Calibre website under Presentations, prior to the conference call.
Other related developments from around the markets include:
Barrick Gold Corporation will release its Q2 2023 results on Tuesday, August 8, 2023. President and CEO Mark Bristow will host a live presentation of the results that day at 11:00 EDT, with an interactive webinar linked to a conference call. The company will release its preliminary production, sales and cost information for Q2 2023 on July 13, 2023.
Newmont Corporation announced that it will release its second quarter 2023 operations and financial results on Thursday, July 20, 2023. Newmont will hold a conference call at 11 a.m. Eastern Daylight Time (9:00 a.m. Mountain Daylight Time), the same day, which will be available on the Company’s website.
Franco Nevada Corp. announced it will report its second quarter 2023 results as follows: Second quarter 2023 results release on August 8 after market close. Conference call and webcast on August 9 at 10 a.m. ET.
Royal Gold Inc. announced that its wholly-owned subsidiary RG Royalties, LLC, has entered into a binding commitment letter with ACG Acquisition Company Ltd. to acquire new royalty interests on the producing Serrote and Santa Rita mines in Brazil for total cash consideration of $250 million, subject to satisfaction of certain conditions, including negotiation and execution of definitive documentation. The royalty interests consist of a gold royalty on the Serrote mine, a gold, platinum and palladium royalty on the Santa Rita mine, and a copper and nickel royalty on both the Serrote and Santa Rita mines.
Legal Disclaimer / Except for the historical information presented herein, matters discussed in this article contains forward-looking statements that are subject to certain risks and uncertainties that could cause actual results to differ materially from any future results, performance or achievements expressed or implied by such statements. Winning Media is not registered with any financial or securities regulatory authority and does not provide nor claims to provide investment advice or recommendations to readers of this release. For making specific investment decisions, readers should seek their own advice. Winning Media is only compensated for its services in the form of cash-based compensation. Pursuant to an agreement Winning Media has been paid three thousand five hundred dollars for advertising and marketing services for Calibre Mining Corp. by Calibre Mining Corp. We own ZERO shares of Calibre Mining Corp.Please click here for disclaimer.