Phoenix Gold (ASX:PXG) has received a speeding ticket from the ASX for a share price gain from a closing price of $0.085 on 20 November 2014 to an intra-day high of $0.097 today.
The company said it was unaware of any information concerning it that has not been announced.
Phoenix said it understands that a stockbroker sent a report to its clients yesterday which contained a buy recommendation with a target price of $0.16.It is also noted that there has been an increase in the price of gold over the past week.
First gold poured
Recently, Phoenix poured first gold from the Kintore West open cut, part of the Castle Hill Stage 2 Project in Western Australia.
With the pouring of first gold at its Kintore West open cut, Phoenix Gold will soon generate cash flows from the first of a three pronged approach to developing its Castle Hill project.
The four mines at Castle Hill Stage 2 are expected to produce 85,000 to 90,000 ounce of gold over an initial two years and generate net cash of between A$10 million and A$12 million at a gold price of A$1,350/oz.
There is potential to grow with negotiations underway with Norton Gold Fields to progress the joint venture development of Castle Hill Stage 1 while the updated heap leach feasibility study is expected to be completed this quarter.
