The Mount Gibson (ASX:MGX) share price is falling today

Mount Gibson Iron Limited (ASX: MGX) share price has fallen 0.41% today despite a positive company update on Shine, its new iron ore project.
The post The Mount Gibson (ASX:MGX) share price is falling today appeared first on Motley Fool Australia. –

man looking down falling line chart, falling share price

The Mount Gibson Iron Limited (ASX: MGX) share price is falling today despite a positive company update on its new iron ore project. Mount Gibson shares are trading 0.68% lower at 73 cents at the time of writing.

Mount Gibson Iron is a large iron ore miner located in Western Australia. The company has three major projects currently in operation, including Koolan Island, Extension Hill and Tallering Peak. 

Project update

The Mount Gibson share price is on the move today as the company provided an update on its planned development of the Shine iron ore project. The Shine mine is located 375 km northeast of Perth, in the mid-west region of Western Australia. The company said Shine was a “near-term, low-capital production opportunity that will further extend Mount Gibson’s 16-year operational presence”.

Today, Mount Gibson reported its iron ore reserves at the mine were 2.8 million tonnes. The mining time for the project is expected to be 2 years. However, this could be extended by developing a ‘stage 2’ pit if the subject is a success.

Furthermore, the company reported it was currently finalising commercial and permit requirements to start development and achieve targeted first ore sales in mid 2021.

What now for the Mount Gibson share price?

The Mount Gibson share price has been on downward trend this year as COVID-19 related issues have impacted supply chains. Mount Gibson shareholders will be hoping this new project can provide the impetus to drive the company’s share price upwards.

Mount Gibson CEO Peter Kerr was optimistic, saying:

We are pleased to be able to capitalise on the positive iron ore market conditions by progressing the Shine iron ore project in order to extend our significant presence in the mid-west, where we have been an established iron ore exporter since 2004.

Our detailed review of the project has confirmed Shine as an attractive production opportunity that can be quickly brought on line and appropriately staged to suit market conditions.

Where to invest $1,000 right now

When investing expert Scott Phillips has a stock tip, it can pay to listen. After all, the flagship Motley Fool Share Advisor newsletter he has run for more than eight years has provided thousands of paying members with stock picks that have doubled, tripled or even more.*

Scott just revealed what he believes are the five best ASX stocks for investors to buy right now. These stocks are trading at dirt-cheap prices and Scott thinks they are great buys right now.

See The 5 Stocks

*Returns as of June 30th

More reading

Motley Fool contributor Daniel Ewing has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

The post The Mount Gibson (ASX:MGX) share price is falling today appeared first on Motley Fool Australia.

Trade The World Anywhere & Anytime!

Mobile app platform with over 50,000 global listed securities across 12 markets (over 70% global market capitalisation), right from your Android or iOS device.

Integrated with exclusive trading idea and investment analysis tools to help you find actionable insight on virtually every financial instrument across our 12 global markets, to help you optimise your trading strategies.

Refer Your Friends

Tell your friends about Monex and gift them FREE access to our trading tools.

We respect your privacy and will only send this one email notification to your friends. 

Share With Your Friends

Share on facebook
Share on twitter
Share on linkedin

Monex Trading Tools Access and Usage Terms

The Monex Trading Tools (referred to as ‘tools’ hereafter) are available to you inside your client portal;

To activate access to the tools, you must have a verified and approved trading account and have made a deposit of at least AUD $1000.

An active and funded account with a positive trading balance is required to continue to have access to the tools;

Although the tools are available to you indefinitely, Monex Securities may at it’s discretion disable access to the tools in the future;

Monex securities reserves the right to change these terms and conditions from time to time, as it sees fit, without notice.

Important Notice
iOS & Android App - 12 International Markets & Over 70% Global Market Cap. $0 Brokerage On US Trades. Click Here!