7. Northgate Minerals ( NXG) is a gold and copper producer with operations, development projects and exploration properties in Canada and Australia. The company's mines, namely Kemess, Fosterville, Stawell and Young-Davidson amounted to total proven and probable reserves of 3,555,000 ounces of contained gold and 9,247,000 pounds of copper, as of Dec. 31, 2010 Northgate finished 2010 with cash flow from operations of $56.5 million, up 36% compared to the same period a year ago. As a result, cash and cash equivalents surged to $334.8 million from $253.5 million at the end of 2009. The company recently released an updated resource estimate for the Kemess underground project, which now holds an approximate 2.6 million ounces of gold and 861 million pounds of copper. At the Young-Davidson mine, the company reported a 20% increase in open pit reserves to 325,000 ounces. Going forward, the company expects to add further reserves as exploration activities at the mine accelerate. Of the nine analysts covering the stock, 67% recommend a buy while the remaining rate a hold. There are no sell ratings on the stock. Analysts polled by Bloomberg forecast average 12-month price target of $4.32, about 54% higher than the stock's current price.
Shares of Northgate Minerals Corporation (AMEX:NXG) were gapping up Monday morning with an open price 37.5% higher than Friday's closing price. The stock closed at $3.15 yesterday and opened today's trading at $4.33.
Northgate Minerals Corporation (AMEX:NXG) is trading at unusually high volume Thursday with 7.5 million shares changing hands. It is currently at 4.1 times its average daily volume and trading up 11 cents (+3.8%).
Gold prices are falling Monday as investors brace for the outcome of the U.S. midterm elections, the outcome of the upcoming Federal Reserve meeting this week and the dollar receives a boost better-than-expected economic data is released.