Canadian gold miner Richmont Mines (RIC:CA) (RIC) continued to show its growing strength with news on Friday that it would be added to the S&P/TSX SmallCap Index. Effective as of the opening bell on Monday the 21st, addition to this index is expected to help boost the visibility of Richmont’s stock.
"The addition of Richmont to the S&P/TSX SmallCap Index is an important milestone for our company and recognizes the progress we have made over the last couple of years as we successfully transition Island gold mine into a low-cost, long-life and higher-grade operation,” said Renaud Adams. “We are confident that the inclusion in the index will improve trading liquidity and expose Richmont to a much broader range of investors."
Addition to Key Index a Boost for Growing Resource Company
Richmont Mines is an established gold mining company with some 14 sites in Quebec and Ontario and 25 years of experience in the industry. The company has already produced over 1.5 million ounces of gold and is currently exploring an expansion of resources below its Island Gold Mine in Ontario, one of its two currently-producing sites, along with the Beaufor Mine in Quebec.
The company’s Q2 earnings report, released in mid-July, revealed a record quarterly output for the Island Gold Mine, falling just three ounces shy of 15,000 for the three-month period. This gave the company production in excess of 26,000 ounces, producing revenues of $40.6 million.
The S&P/TSX SmallCap Index is a cap-weighted, float-adjusted index designed with industry input to create a benchmark for those small-cap companies with exposure to the Canadian equities markets. The addition of Richmont Mines is, to some degree, a recognition of its steady gains over the last two years. The stock has more than tripled since the start of 2014 and is up more than 60% over the last year.
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