The past few days have been quite tough for investors in Guskin Gold Corp (OTCMKTS:GKIN) and it continued to be the same on Thursday as the stock fell by as much as 4%. The decline that was seen in the stock yesterday took the total decline over the course of the past week to as much as 18%. In light of such a state of affairs, it may be the right time for investors to try and figure out if the decline in the stock is going to continue or if a recovery is on the horizon or not. Despite the decline in the stock yesterday, it ought to be noted that the company was in fact in the news yesterday and it may be a good move to perhaps take a look into the development this morning.
Trading Data
On Thursday, QEPC stock ended flat at $19.65 with 18 shares, compared to its average volume 527 shares. The stock moved within a range of $19.65 – 19.65 after opening trade at $19.65.
Guskin Gold Corp. (OTCQB:GKIN) Announces Opening of the Tepa Gold Mine
The company announced yesterday that its Tepa Gold Mine in Ghana had been opened and had also become operational. An announcement of that nature can almost always come as a boost for companies which are involved in the gold exploration space but such a thing did not happen for Guskin Gold.
Investors did not seem impressed with the news at all and the stock suffered from a mini selloff. However, one of the things that ought to be noted in this regard is that the mine in question is situated in the Sefwi-Bibiani Gold Belt, which is quite well known for being a prolific gold producing zone.
The property is going to be operated by Guskin Gold Ghana, which is a fully owned subsidiary of Guskin Gold Corp and the subsidiary is going to be the only operator of the mining operations. Guskin Gold Ghana holds a 70% interest in the property. The mine manager Peter Tomety spoke about the development as well and it may be a good idea for investors to take a look into it.
Tomety noted that everyone at the company was pleased at the fact that gold production had commenced at the Tepa Gold Mine. He went on to add that operations have started and as things stand, the whole thing has been progressing as per the company’s expectation. However, more importantly, he noted that the operations of the mine were going to scale up and eventually the mining work was going to register a much higher rate.
Key Quote
Mr. Peter Tomety, Guskin Gold’s Mine Manager, states, “We are pleased to report the commencement of gold production at Tepa. Operations have begun and are in line with our initial expectations.We anticipate operations will continue to scale, and expect to mine at a higher rate, deliver more ounces, and establish ourselves as a reliable low-cost producer.”
Guskin Gold Corp. Mobilizes Mining Equipment and Work Crews to Tepa Gold Mine, Ashanti Region, Ghana
While the commencement of mining at the Tepa Gold Mine was a positive development for the company, it should be noted that back on June 27 this year, Guskin Gold Corp had made a key announcement about the same.
The company had announced at the time that the all the necessary mining and heavy equipment with regards to the mine had been delivered. Hence, it could be said that fairly positive news had emerged more than two weeks ago but it did not have a positive effect on the Guskin Gold Corp stock at the time. It remains to be seen if the stock can rebound any time soon.
