Impact: Mildly Positive
RNC announced Q2/19 operating results highlighting that the company is getting close to its guided production rate of 40koz/year at Beta Hunt. In addition, the recently acquired Higginsville mine is expected to post improved Q3/19 operating results as a function of lower costs and better recoveries from the ore sourced from the Baloo pit. The newly combined assets (Beta Hunt/Higginsville) should have the potential to reach +100koz/year of gold production by 2021. We expect the market to start pricing in this potential upon the release of: 1) a resource update in Q3/19 and 2) updated mine plan/guidance in Q4/19.