The gold price surged to the highest level in a month to just over $US1,937 an ounce as fighting continues in the Middle East and a deadly blast tore through Al-Ahli Baptist Hospital in Gaza, sparking protests across the region.
The Middle East tensions and threat of escalation is spurring safe-haven demand for the precious metal, which has risen some 6% since Hamas launched a surprise attack on Israel.
Sprott Asset Management suggests gold could breach US$2,000 in the near-term if there is an escalation of geopolitical conflict.
The jump in the gold price comes as several gold mining companies prepare to float on the Australian Securities Exchange in the coming weeks and months.
Far Northern Resources is an advanced Brisbane based gold exploration and base metals company to be listed on the Australian bourse on 23 October 2023 with the code (ASX:FNR).
The company is expected to raise $6 million in an IPO that is not underwritten and has CPS Capital Group appointed as lead manager.
On 9 November, Golden Globe Resources is also poised to float on the ASX, raising $6 million. K S Capital is lead manager and its IPO is also not underwritten.
Golden Globe Resources is a dedicated gold exploration company with access to ‘compelling’ resource targets in Queensland and Western Australia. It will list under the code (ASX:CGR).
Tolu Minerals is seeking to float on the ASX soon. The company says it has a highly regarded mining and corporate team with decades of exploration, mining, and mine restart experience.
Tolu’s focus is within Papua New Guinea, which is a world class gold and copper producing region that remains undervalued and underdeveloped. The company will trade under the code (ASX:TOK).
Blue Ocean Equities and Martin Place Securities are the joint lead managers for the IPO, which is not underwritten.