- Beacon Minerals (BCN) enters a forward gold contract to be delivered in monthly instalments from March to August
- The 9000 ounce gold contract is for an average gold price of $2700 per ounce
- According to the company, the forward contract is a material increase in the sale price from Beacon’s quarter to date average gold price of $2560
- On the market, Beacon is in the grey and trading at 3.7 cents per share
Beacon Minerals (BCN) has entered into a forward gold contract to be delivered in monthly instalments from March to August.
The 9000-ounce gold contract is for an average gold price of $2700 per ounce.
According to the company, the forward contract is a material increase in the sale price from Beacon’s quarter to date average gold price of $2560 and a material increase in the sale price from the end of December average gold price of $2455.
Entering into this contract has secured a portion of Beacon’s monthly gold sales over the next six months at the elevated gold price, whilst still leaving a portion of the company’s gold to be sold at spot rates.
“The purpose of the forward facility is hedging Beacon’s gold price exposure in relation to the Jaurdi Gold Project and to provide a secure cash margin on a portion of Beacon’s future gold production,” the company said.
Earlier this year, Beacon reported record throughput for the December quarter at Juardi, located near Coolgardie, Western Australia.
The company saw 215,675 dry tonnes milled at the project — 72 per cent above the company’s pre-feasibility study. Mill recovery was 87.7 per cent.
On the market, Beacon was in the grey and trading at 3.7 cents per share at 1:30 pm AEDT.