5 ASX Mining Companies to Watch for Impending Gold Boom

Gold has the current potential to jump in prices if high inflation continues to prevent central banks from increasing their rates as fast as they usually like.

Recently, gold has become a dominant force in the mining industry and is expected to make up AU$29 billion of the AU$349 billion in Australian resource sales for 2021-2022.

Thanks to this, investors have been flocking to gold mining companies to cash in on the impending precious metal boom.

Here are five picks for ASX mining companies that may come up big in the future and leave some investors smiling.

1. Navarre Minerals Limited

Navarre (ASX: NML) is set to start producing gold following the acquisition of the Mt Carlton mine on the 5th of October.

The Mt Carlton project is located in Queensland and offers promising prospects for the mining of gold, with Navarre planning to make it a cornerstone asset.

Since its inception in 2013, the Mt Carlton mine has produced close to 700,000oz of gold.

Navarre also identified a greenfield exploration upside to extend the mining sites lifespan and provide the potential for future expansion.

In an ASX announcement, Managing Director Ian Holland said: “We are delighted with the strong support for the Placement, which has secured interest from new and existing investors who are committed to our vision of becoming a significant Australian gold producer”.

Navarre forecasts that the Mt Carlton project will produce between 45,000oz to 50,000oz of gold for the 2022 financial year, pushing this company forward as a key gold resources player on the ASX.

2. Kingwest Resources Limited

Kingwest (ASX: KWR) will restart their mining at the Yunndaga underground mine in Western Australia following a recent move to join forces with established mine developer FMR Investments.

The joint venture will see FMR take the lion’s share of the profits (60%) in exchange for an upfront $1 million boost in liquidity to Kingwest and cover all capital costs for its mill in Coolgardie.

The agreement is set to last over five years or up to the limit of 180,000oz of gold, whichever comes first.

Kingwest resources have identified multiple gold prospect shoots in the Yunndaga mine.

Last month, the company also made a new gold discovery under the Goongarrie salt lake, offering exciting potential for the company and its investors.

3. Great Southern Mining Limited

This month, Great Southern Mining (ASX: GSN) discovered high-grade gold 200m south from their Southern Star project in Western Australia.

The mining company pulled up 17m at 7g/t gold which also included 2m at 56.7g/t and 1m at 109g/t.

Following the discovery, Great Southern Mining has a further 12km of strike length for exploration, hoping for promising results shortly.

Chief Executive Officer Sean Gregory stated that: “It demonstrates that the 12km strike of this well understood mineralised trend is likely to hold more ounces on GSN tenure, we now just have to find out how many more. In terms of mineralisation style, Southern Star is the same as Ben Hur and Rosemount which have progressively grown into company making deposits, and we see no reason for this not to also occur at Southern Star.”

The discovery and opportunity for future gold discoveries make Great Southern Mining an ASX company to keep an eye on.

To see other companies making exciting moves in the precious metals sector, check out this in-depth list of gold mining companies.

4. Lunnon Metals Limited

Lunnon Metals (ASX: LM8) has recently stumbled upon an unrecognised gold structure following a maiden drill program at the Forster mine in their Kambalda nickel project.

Initial assay results reveal that the gold structure is 7.84 at 1.5 g/t from 166m.

The mining company identified the structure area to be 300m downwards and 150m across four different holes.

Following the gold discovery, Lunnon Metals conducted assays to assess the presence and potential for course gold.

Currently, the company is awaiting results and, from here, will decide whether further drilling will be needed to outline a potential gold resource.

The timing couldn’t have been better for the company and maybe leaves exciting prospects for current and future investors.

5. MetalsTech Limited

MetalsTech (ASX: MTC) continues to keep hitting gold on their Sturec deposit in Slovakia.

The company recently uncovered a hit 18m at 36.96g/t gold from 44m, including a 6m section at 109.82g/t gold from 76m.

The company also recorded a new record bonanza result to 1m at 646g/t and 459g/t from 81m of the Phase II drill program on the Sturec gold mine.

In a recent ASX announcement, Chairman Russell Moran stated: “Sturec is shaping up to be an extraordinary deposit with bonanza grade potential…We look forward to reporting regular exploration results from this drilling program.”

With their continued success, investors could possibly be feeling happy about the future prospects of the Sturec gold mine.

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