Close menu




May 13th, 2020 | 08:22 CEST

B2Gold, Newmont, Osino Resources - maximizing profits for shareholders

  • Gold
Photo credits: pixabay.com

In uncertain times, cautious investors seek a safe haven for their money. In addition to real estate, gold in particular is a popular currency for people who have the need to be able to move their assets. But it does not have to be bars and coins. As an alternative to physical gold, shares of companies in the gold industry can offer an interesting investment opportunity. However, there are some important rules to follow in the commodities industry.

time to read: 2 minutes | Author: Mario Hose
ISIN: CA68828L1004 , CA11777Q2099 , US6516391066

Table of contents:


    Exploration and production

    The creation of value in the gold industry begins with exploration, which means the exploration of the land. Companies like Osino Resources explore for reserves in their areas and, if successful, then follow a recognizable trend to discover as much mineable gold as possible. Typically, successful explorers seek a takeover by a producer.

    Companies that are focused on mining and selling can logically only sell their commodities once, and thus their reserves normally decrease as well. The large mining companies thus benefit in return from a takeover of an area or an entire explorer, because this way the reserves are replenished. So, explorers and producers work hand in hand.

    Experiences create security

    The CEO of Osino Resources is Heye Daun, an experienced company director who has made a company capable of being taken over in the past. As part of a transaction, B2Gold has paid around USD 180 million for a 1.9 million ounce gold resource. This transaction took place in 2012, when the gold market was already in a downturn. Heye Daun makes no secret that Osino Resources is also seeking an exit for investors through a sale. As a rule of thumb, selling prices of USD 100 million per million ounces of gold in the ground are expected.

    Sufficiently financed

    Osino Resources has already made discoveries in Namibia that have attracted the interest of investors. With a successful financing round in January 2020, the company has sufficient capital to carry out all the necessary work by March 2021, according to Heye Daun, so that resources of one to two million ounces could be proven. Osino Resources' current market capitalization is approximately CAD 70.88 million at CAD 0.85. This means that if the company is successful, there is still some upside potential for investors.

    Currency advantage in Namibia

    The advantage of Osino Resources and B2Gold, with their operating activities in Namibia, in the current market environment is, among other things, that the country's currency is the weak South African Rand (ZAR). Because all work there is invoiced in this currency, these companies have a competitive advantage over regions that, for example, have to pay their costs in USD. The large mining companies such as B2Gold and Newmont usually operate on several continents in order to avoid national or regional risks.

    Gold stocks can provide protection

    With increasing global uncertainties, the interest in gold will continue to grow. The refinancing needs of states for the costs of corona measures and the loss of tax revenues will most likely ensure that interest in gold will remain high. For gold producers, the current price level of the precious metal is very lucrative. The faster the coffers are filled, the looser the money will sit in takeovers. A circumstance that will play into the hands of the shareholders of Osino Resources.


    Conflict of interest

    Pursuant to §85 of the German Securities Trading Act (WpHG), we point out that Apaton Finance GmbH as well as partners, authors or employees of Apaton Finance GmbH (hereinafter referred to as "Relevant Persons") may in the future hold shares or other financial instruments of the mentioned companies or will bet on rising or falling on rising or falling prices and therefore a conflict of interest may arise in the future. conflict of interest may arise in the future. The Relevant Persons reserve the shares or other financial instruments of the company at any time (hereinafter referred to as the company at any time (hereinafter referred to as a "Transaction"). "Transaction"). Transactions may under certain circumstances influence the respective price of the shares or other financial instruments of the of the Company.

    Furthermore, Apaton Finance GmbH reserves the right to enter into future relationships with the company or with third parties in relation to reports on the company. with regard to reports on the company, which are published within the scope of the Apaton Finance GmbH as well as in the social media, on partner sites or in e-mails, on partner sites or in e-mails. The above references to existing conflicts of interest apply apply to all types and forms of publication used by Apaton Finance GmbH uses for publications on companies.

    Risk notice

    Apaton Finance GmbH offers editors, agencies and companies the opportunity to publish commentaries, interviews, summaries, news and etc. on news.financial. These contents serve information for readers and does not constitute a call to action or recommendations, neither explicitly nor implicitly. implicitly, they are to be understood as an assurance of possible price be understood. The contents do not replace individual professional investment advice and do not constitute an offer to sell the share(s) offer to sell the share(s) or other financial instrument(s) in question, nor is it an nor an invitation to buy or sell such.

    The content is expressly not a financial analysis, but rather financial analysis, but rather journalistic or advertising texts. Readers or users who make investment decisions or carry out transactions on the basis decisions or transactions on the basis of the information provided here act completely at their own risk. There is no contractual relationship between between Apaton Finance GmbH and its readers or the users of its offers. users of its offers, as our information only refers to the company and not to the company, but not to the investment decision of the reader or user. or user.

    The acquisition of financial instruments entails high risks that can lead to the total loss of the capital invested. The information published by Apaton Finance GmbH and its authors are based on careful research on careful research, nevertheless no liability for financial losses financial losses or a content guarantee for topicality, correctness, adequacy and completeness of the contents offered here. contents offered here. Please also note our Terms of use.


    Der Autor

    Mario Hose

    Mario Hose

    Born and raised in Hannover, Lower Saxony follows social and economic developments around the globe. As a passionate entrepreneur and columnist he explains and compares the most diverse business models as well as markets for interested stock traders.

    About the author



    Related comments:

    Commented by Armin Schulz on November 6th, 2026 | 05:44 CET

    Gold Stocks – Q3 Central Bank Buying and ETF Inflows Could Provide a Tailwind for Newmont, Kobo Resources and Agnico Eagle

    • Newmont
    • Kobo Resources
    • Agnico Eagle
    • Gold
    • Joint-Venture
    • Ivory Coast
    • Gold price
    • Gold production
    • Kossou
    • Mineral resource estimate

    Central banks bought 321.2 tonnes of gold in the third quarter. That was 42% more than in the same period last year, the World Gold Council reported on November 3. Added to this were 211.2 tonnes of inflows into exchange-traded gold funds following outflows in the second quarter. Global mine production, by contrast, rose by just 3% to 1,070.9 tonnes over the same period. Producers have to deliver, and it takes years for a deposit to become a mine. This spurs producers into action, because those who keep mines running, make new discoveries or develop projects can benefit. We take a closer look at Newmont, Kobo Resources and Agnico Eagle.

    Read

    Commented by Tarik Dede on November 6th, 2026 | 05:23 CET

    Commodities comeback: Opportunities in K92 Mining, Almonty Industries and Aya Gold & Silver!

    • Gold
    • Silver
    • Tungsten
    • Interest rates
    • Dollar
    • Midterms

    "Taken to the slaughter" is one of the more colourful expressions used in the stock market. On Thursday this was the fate of high-flying hype stocks such as Intel, which at one point lost a third of their market capitalisation. However, the waves of selling seen in recent weeks swept broadly across the markets. Gold and other commodities were hit particularly hard. High interest rates and profit-taking triggered sharp declines in many stocks. Following the US midterm elections, however, gold is once again shining, with prices posting gains. Opportunities are also emerging in shares of K92 Mining, Almonty Industries and Aya Gold & Silver.

    Read

    Commented by Nico Popp on November 6th, 2026 | 05:20 CET

    Gold Above USD 4,000 Fuels Nevada Gold Rush: Phenom Resources, SSR Mining and Barrick Mining Reshape Their Operations

    • Gold
    • Nevada
    • Exploration
    • Costs

    On Wednesday, gold climbed back above USD 4,000 per ounce. Following the Democrats' victory in the US congressional elections and a weaker dollar, the price rose by around 3%. The industry is also receiving a tailwind from Washington. Since March 2025, Executive Order 14241 has been designed to accelerate federal permitting processes for mining projects, including through the FAST-41 transparency programme. With new mining projects now taking an average of 16 years to develop, according to research by Crux Investor, and grassroots exploration declining across the industry, producers are increasingly investing cash flow in Nevada, considered a politically safe jurisdiction. Against this backdrop, industry players are repositioning themselves to secure new resources.

    Read