Macmahon Expects Gold To Shore Up Company Outlook
The CEO of Australia’s Macmahon Holdings expects gold to continue performing well despite the weak outlook for the mining sector in general.
Macmahon chief Ross Carroll said to the Australian Financial Review that the company’s 10-year contract for the Tropicana gold mining project in Western Australia is a source of reassurance for during troubled times for the resources sector.
“Certainly with iron ore being weaker and coal, and potentially the flow-on effect of lack of new work there, to have a gold project like this which is for 10 years…it’s obviously very comforting to us,” said Carroll.
Australia’s leading miners have taken a battering in recent months following precipitous declines in spot prices for the country’s key resource exports of iron ore and coal
The Tropicana project in Western Australia has a total value of AUD$740 million and projected output of 490,000 ounces per annum following the commencement of full operation.
Souce: Mining.com
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