Loading ...Rubicon Minerals cuts gold estimate by 86%, considers sale
Jan 11 2016, 13:32 ET | About: Rubicon Minerals Corporation (RBY) | By: Carl Surran, SA News Editor
Rubicon Minerals (RBY -68.7%) shares collapse after the miner cuts its estimate for gold reserves at its Phoenix mine in Ontario by 86% and says it is evaluating strategic options including a sale.
RBY now says inferred gold reserves at the mine totals ~300K oz., citing new drilling information and changes in modeling; it had estimated 2.2M oz. of inferred gold reserves in 2013.
Analysts at Mackie Research say they are “totally shocked… particularly after so many engineering firms have reviewed the data. Not only is this a huge negative development for RMX, but is it also a huge black eye for the industry.”