RNC Minerals (TSX:RNX), an Australian mining firm, are tallying an unprecedented gold find from last weekend.
The company mined the underground Beta Hunt goldmine in Kambalda and has discovered two of the biggest gold specimens in recorded history.
A single cut of rock was blasted at about 500m underground of the 45-year-old mine, and the company is still processing the find as we speak.
The bigger of the two is said to be valued at $3.8 million and contains around 2,300 ounces of gold.
The second piece is valued at $2.7 million, with an estimated 1,600 ounces of gold.
But there is believed to be a lot more gold (in the area of $15 million) to still be delivered from these quartz pieces.
RNC Minerals is a Canadian-owned mining company and the gold discovery may cause the owners some welcomed confusion as the mine is currently up for sale!
RNC’s chief executive Mark Selby dubbed the find “one of those once-in-a-lifetime moments.” A find such as this is uncommon these days and mines have been producing gold at lower and lower grades.
“It’s generally an exciting moment, and given it’s been a tough slug for us at the mine, to make this kind of discovery just reinforces that we always knew this mine had potential. We’re going into a sales process to put it into hands to raise the capital to do this exploration, to find these areas we know are there, and hopefully retain some equity interest. But this discovery shows Beta Hunt has the potential to be a very large gold mine going forward.”
The company is seeing a massive jump in its share price since the news was announced. Currently, stocks are soaring up 100%.
I don’t think I can blame investors for jumping on this stock!
But now the real question for RNC’s owners: To sell or not to sell? What would you do?
Featured Image: Deposit Photos/scanrail