Capricorn Metals Becomes Fully Unhedged Gold Producer

Capricorn Metals Ltd ( (AU:CMM) ) just unveiled an update.

Capricorn Metals Limited has announced the closure of its final gold hedging instrument, making it a fully unhedged gold producer. This strategic move, coupled with the purchase of gold put options, positions the company to benefit from potential increases in gold prices while mitigating downside risks. The company has invested $50 million from its cash reserves for this transition, which enhances its financial flexibility to fund the expansion of its Karlawinda and Mt Gibson projects without incurring additional debt or hedging obligations. The proactive strategy has already resulted in $52 million in revenue enhancements, underscoring Capricorn’s strengthened position in the gold market.

The most recent analyst rating on (AU:CMM) stock is a Hold with a A$5.10 price target. To see the full list of analyst forecasts on Capricorn Metals Ltd stock, see the AU:CMM Stock Forecast page.

More about Capricorn Metals Ltd

Capricorn Metals Limited is a company operating in the gold mining industry, focusing on the production and development of gold projects. Its primary operations include the Karlawinda Gold Project and the Mt Gibson Gold Project, with a market focus on maximizing exposure to gold prices.

Average Trading Volume: 2,012,702

Technical Sentiment Signal: Buy

Current Market Cap: A$4.07B

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