Gold rush could herald boom for mining stocks, but analysts warn it’s not all glitter

[SINGAPORE] Gold prices are continuing to notch new highs amid geopolitical risks and economic uncertainties. But analysts warn that investors turning to mining stocks to capitalise on the gold rush should tread with caution.

After all, all that glitters is not gold, and these mining companies could have very different growth prospects.

Among the 10 most traded resources stocks on the Singapore Exchange (SGX) this year, only two – CNMC Goldmine and Wilton Resources – are gold mining companies. Both are listed on the Catalist board.

CNMC Goldmine focuses on gold exploration, mining and processing, with its flagship Sokor Gold Project in Kelantan, Malaysia. Spanning 10 sq km, it is estimated to yield some 918,000 ounces of gold.

CNMC Goldmine generated a total return of 25.6 per cent in 2024 – broadly in line with the 26 per cent rise in gold prices in the year.