With Saracen removed from the list of independent gold producers, Regis well and truly fills the vacuum, currently producing 370,000 ounces, forecast to grow and potentially become a 600k ounce producer in the next two to three years.

WHY WE LIKE IT

We like the low cost WA based gold producer because it is trading on metrics such as prospective PE ratio, EV/EBITDA and ROE that are lower than most of its peers despite the quality, scale and growth potential of its existing gold operations and the McPhillamys project in NSW, with 2moz ore reserves, included for free! Production of 355-380koz projected for FY21; it has gold resources of 5moz, reserves of 1.6moz in WA and strong exploration potential. Among its peers, it is one of the lowest cost producers at A$1,230-1,300/oz all in sustaining costs.

WHAT'S NEW?

Regis achieved another milestone in the development of the McPhillamys Gold Project, located near Blayney, NSW, lodging a Development Application in early September, with a possible decision by the regulator during the first half of 2021. The mine could add another 200k ounces to Regis’s 370k current production. It’s a big deal, putting Regis into the next league with 600k plus of gold production.

**FY21 forecast 16 cents