Gold has been off to a strong start this year, surging about 40% since January, and according to Goldman Sachs, this momentum is likely to continue through the year.
Having broken through the $2,900 barrier for the first time earlier last month, the price of the precious metal is predicted to top at least $3,100 per ounce by the end of 2025, driven by a number of factors. For starters, US President Donald Trump's decision to impose tariffs of 25% on imports of steel and aluminum is likely to contribute to rising inflation.
Fears of a global trade war coupled with rising inflation add upward pressure to the price of gold, which is often seen as a safe haven asset in times of disruption as well as a hedge against inflation. In addition, that higher-than-expected demand for gold from central banks is likely to contribute to increasing gold prices.
While the spotlight has been on gold prices, gold mining stocks have remained highly undervalued by comparison, creating an incredible opportunity. Historically, gold miners tended to outperform gold when the price of gold increased, and it appears this trend could be primed for a major comeback.
Taking that into consideration, here are four gold miners that appear well positioned to benefit from a surge in gold prices.
Sidney Resources (OTC PINK:SDRC)
Sidney Resources appears well positioned to become a major player in North America's precious metals market, and for investors looking for a speculative gold play, here’s what they should know about the company.
Its flagship project is the Warren Project, located in Idaho, which is ranked as a Tier 1 mining jurisdiction. The project has a long history of precious metals production dating as far back as 1863, and the company believes that by leveraging modern technology it could unlock even more value for shareholders that is yet to be tapped into.
Based on extensive geological research, historical survey reviews, and academic studies, Sidney Resources confirmed the existence of a vein length exceeding 9000 feet. A subsequent drill program confirmed the vein structure and presence of high-value metals like gold and silver. Not only that, the project has demonstrated the presence of platinum group metals (PGMs) and rare earth elements (REEs), prompting the company to quietly expedite claim acquisitions in the region.
Most notably, Sidney recently announced the successful acquisition of Unity GoldSilver Mines Inc. assets, marking a pivotal milestone in the company's strategic expansion within the resource-abundant Warren Mining District. This acquisition gives Sidney Resources 168 acres of private patented mining claims and 1477 acres of unpatented mining claims, along with significant infrastructure.
The Unity Mining properties present a wealth of opportunities, including an estimated 175,000 to 200,000 tons of high-value mine spoil resources. Preliminary testing aligns these materials with Sidney Resources' existing claims, suggesting significant recoverable gold, silver, and platinum group metals (PGMs). Regional historical data show assays of up to 14 ounces per ton of gold and 35 ounces per ton of silver, illustrating the potential of the property.
That acquisition expanded Sidney's influence to over 4,500 acres and consolidated Sidney's control of ~95% of the Warren Valley, strengthening its regional dominance.
But what has been getting investors excited about the company is the recent announcement that a 25,000-ton ore stockpile obtained from the project demonstrated significant grades of gold, silver, platinum group metals (PGMs), and rare earth elements (REEs), emphasizing the project's substantial resource potential and strategic importance. Analyses of the ore revealed impressive concentrations of gold at 10.2 oz/ton and silver at 42.2 oz/ton, underscoring the world-class potential of the Warren District project, with strong grades across a range of critical and high-value elements.
Given the impressive assay results that have since emerged, it's clear that the element of secrecy ensured that Sidney Resources secured the entire district at a fraction of its potential market value. Had these assay results been released before the land was secured, it’s almost certain that major mining corporations like Barrick Gold would have rushed in to compete. Land prices would have skyrocketed, making further expansion difficult, and Sidney could have lost control over key sections of the Warren District.
Newmont Corporation (NYSE:NEM)
Newmont Corporation is the world's leading gold company, with a global portfolio of operations and projects.
The company recently announced impressive fourth-quarter and full-year results for 2024, showcasing increased gold production and a significant turn to profitability with a net income of $1.4 billion, compared to a net loss the previous year. Its gold mineral reserves stood at 134.1 million attributable ounces at the end of 2024, only slightly lower compared to 135.9 million attributable ounces at the end of 2023.
Newmont generated $6.3 billion of cash from operating activities, net of working capital changes of $1.0 billion, and reported $2.9 billion in free cash flow for the year, including a record $1.6 billion in the fourth quarter. The company also reaffirmed its commitment to increasing shareholder value during the quarter by repurchasing 10.86 million shares valued at about $552.36 million.
Last year proved to be a pivotal period for the company, as it focused on the integration of Newcrest Mining’s assets, divestment of non-core assets, and transitioning the business onto a stable operating and investment platform.
One of management’s key objectives was to streamline the company into the world's best collection of Tier 1 gold assets, which is why under its rationalization strategy, the company agreed to sell six non-core operations. The sale, which was recently concluded, generated up to $4.3 billion in pre-tax proceeds and included Akyem, Cripple Creek & Victor (CC&V), Éléonore, Musselwhite, Porcupine, and Telfer, along with its 70% interest in the Havieron project.
Kinross Gold Corporation (NYSE:KGC)
Kinross Gold is a senior gold mining company with a diverse portfolio of mines and projects in the United States, Canada, Brazil, Chile, and Mauritania.
Some of the reasons that make the stock so appealing to investors include its compelling value opportunity, with about 70% of its production based in the Americas, a strong and stable ~2-million-ounce production outlook, a solid pipeline of exploration and development opportunities, and an attractive dividend.
In the fourth quarter of 2024, revenue increased to $1.4 billion, compared with $1.1 billion during Q4 2023. For full-year 2024, revenue increased to $5.14 billion compared with $4.23 billion for full-year 2023, representing a 21% year-over-year increase on the backdrop of an increase in the average realized gold price.
In other highlights, the company’s Tasiast mine had another excellent year, achieving record annual production and cash flow mainly a result of record throughput following the completion of the Tasiast 24k project in the second half of 2023.
The Paracatu mine also had another strong year, delivering over 500,000 gold ounces for the 7th consecutive year. While full-year production decreased compared with 2023, mainly as a result of lower grades due to planned mine sequencing into harder material in the southwest area of the pit, annual production is expected to increase as the site moves into higher-grade portions of the mine this year.
As of the end of 2024, Kinross’ total proven and probable mineral reserve estimates decreased by 4%, to 21.9 million Au oz. compared with 22.8 million Au oz. at year-end 2023, mostly due to depletion. This year, Kinross expects to produce 2 million attributable Au eq. oz. from its operations, with production expected to remain stable at 2.0 million attributable Au eq. oz. for each of 2026 and 2027.
Barrick Gold Corporation (NYSE:GOLD)
Barrick Gold is a global mining company with operations in North America, South America, Africa, and the Middle East.
According to recent regulatory filings, Dennis Bristow, President of the company, just upped his stake in the company after buying about $5.9 million in stock at an average price of $25.72. That purchase represented the biggest insider purchase of the company's shares seen in the last year, suggesting his conviction in a brighter future.
The company recently reported fourth quarter earnings with adjusted EPS coming in at $0.46. While this was largely in line with analyst expectations, the company’s revenue of $3.65 billion fell short of the projected $3.95 billion.
Despite that, Barrick Gold’s gold production exceeded estimates, reaching 1.08 million ounces compared to the anticipated 1.05 million ounces. Going forward, Barrick expects attributable gold production of 3.15–3.5 million ounces, excluding production from its Loulo-Gounkoto project during its temporary suspension.
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