Grade overcalling at Ramelius Resources' (ASX:RMS) Break of Day ore deposit at its Cue gold project could present a potential upside risk to the company's fiscal 2025 production guidance, Euroz Hartleys said in a Monday note.
The company reported Monday gold production of 85,311 ounces in the December 2024 quarter, up from 62,444 ounces in the September 2024 quarter. It expects fiscal 2025 production of 270,000 to 300,000 ounces, with an all-in-sustaining cost between AU$1,500 to AU$1,700 per ounce.
The company is poised for a potential re-rating, driven by strong cashflows for fiscal 2025 and a solid organic pipeline, including the Eridanus, Rebecca, and Roe projects, Euroz Hartleys added.
Euroz Hartleys maintained its buy rating and price target of AU$2.80 on the company.
Ramelius Resources' shares were up almost 1% in recent Friday trade.
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