Mining needs oil
The current high oil price of over 80 US dollars per barrel is heating up inflation. And it increases the costs of gold mine operators. This is because they usually need large quantities of diesel for their trucks and generators. This could lead to a certain cost pressure, which would also drive the gold price upwards, as it is important to cushion an otherwise stronger decline in gold production.
For companies that are still under construction, the high oil prices are not so serious, because they do not yet need as much oil as active mines. A high oil price should also increase inflation anyway, which will benefit gold as a value-preserving medium.
The oil price in North America is significantly lower than in Europe. There are also regions in North America where the oil can be obtained again at a discount to the WTI oil price. The reason lies in the low transport capacities there to the refineries. Mining companies in North America should therefore not suffer as much from high oil prices as elsewhere in the world.
Gold companies operating in North America include Maple Gold Mines and Auryn Resources. Maple Gold Mines - https://www.commodity-tv.net/c/search_adv/?v=298484 - is just drilling its 370 square kilometer Douay Gold project in northern Quebec, located in the Abitibi Greenstone Belt. The Company plans to expand its previously identified resource of 3.2 million ounces of gold to five million ounces of gold.
Auryn Resources - https://www.commodity-tv.net/c/search_adv/?v=298585 - owns properties in Nunavut, the Committee Bay and Gibson MacQuoid gold projects, and the Homestarke Ridge gold project in British Columbia. In addition, there is the Sombrero gold-copper project in Peru.
Current corporate information and news releases from Maple Gold Mines (https://www.resource-capital.ch/en/companies/maple-gold-mines-ltd.html) and Auryn Resources (https://www.resource-capital.ch/en/companies/auryn-resources-inc.html).
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