Shares in Independence Group, which has three mines in Western Australia, jumped higher in early trade.
At the close, they were up 9.5% to $3.26, pushing the miner and explorer to a market capitalisation of $1.6 billion.
There was no official announcement to explain the rise but Peter Bradford, the CEO, did make a presentation to the Euroz Securities Institutional Conference.
And there have been unconfirmed reports of takeover interest centred around Independence Group’s 30% holding in the Tropicana gold mine east of Kalgoorlie. AngloGold Ashanti has the rest of the mine.
The open pit mine is one of Australiaâ€™s lowest cost producers of gold with a cash cost of $675 an ounce, according to 2016 forecasts. The precious metal is currently trading at $US1,254.
In its latest half year results, Independence reported a 20% drop in revenue to $220.2 million and a loss of $78.0 million, after spending $66.9 million on an acquisition and booking a $35.5 million impairment on exploration assets.
Mark Creasy, one the Australia’s most successful prospectors, is the biggest shareholder in Independence with 18.8%.