New Gold sets target

Article Excerpt

NEW GOLD $4.01 (Toronto symbol NGD; TSINetwork Rating: Speculative) (888-315-9715; www.newgold.com; Shares o/s: 513.7 million; Market cap: $2.1 billion; No dividends paid) has four mines: the Mesquite project in the U.S.; Cerro San Pedro in Mexico; the Peak mine in Australia; and the New Afton operation in B.C. New Gold continues work on a new mine in Rainy River, Ontario; the goal is to produce an average of 325,000 ounces of gold annually. The stock is now down around 23% since the company revealed cost overruns and delays at Rainy River. New Gold plans to bring in additional equipment and contractors to speed up development of the mine. This should help the company meet its September 2017 target to start production. New Gold is a buy. buy…