On December 17th, Golden Star Resources (TSX:GSC) reported drilling results from its Wassa Underground Gold Mine, located in Ghana. There were numerous highlights, and yet the GSC stock is currently trading in the red, twenty-four hours later. That’s gold penny stocks for you, though.
Gold Penny Stocks: Golden Star Resources
The results announced are, reportedly, expected to increase the project’s Inferred Mineral Resources, and cause an upgrade, moving from Inferred to Indicated Mineral Resources.
For those who don’t know, Golden Star Resources is based in Toronto, Canada. It is an established gold mining company and is listed on the Toronto Stock Exchange, among others.
A few highlights from the company’s report include identifying a new footwall zone of gold mineralization, as well as receiving positive assay results from five new infill and step-out diamond drill holes.
“I am encouraged by the latest positive results,” said CEO Sam Coetzer. “The step out drilling results continue to confirm the extension of the Wassa Underground deposit to the south.” Moving forward, Coetzer says Golden Star Resources will focus more heavily on “demonstrating the potential of this exceptional deposit,” as well as delivering value to shareholders.
Despite the confidence from the CEO and the positive results overall, the GSC stock found its way into the red zone today. However, not by much, which indicates this has more to do with the volatility of the gold penny stocks market, and not Golden Star itself.
>> Tech Penny Stocks: Patriot One Technologies Tumbles
GSC Stock Price
According to Yahoo Finance, as of 1:25 PM, Golden Star Resources is trading at $3.93, which puts the gold penny stock down 0.51%.
The Takeaway
What do you think caused the stock to enter the red zone today? Was it just a one-off? Let us know what you think in the comments below.
Don’t forget to check in during the rest of the week for more penny stock news!
Featured Image: Depositphotos/belchonock
