Shares of Wanguo Gold Group (03939) rallied more than 8% during Wednesday's trading session, extending a remarkable run that has seen the stock double in value since the start of July. At the time of writing, the stock was up 7.34% at HK$15.80, with turnover reaching HK$424 million.

According to the company's interim results, Wanguo Gold Group generated revenue of RMB 1.86 billion in the first half of the year, marking a 50% year-on-year increase, while net profit attributable to shareholders surged 51% to RMB 910 million. Notably, revenue from the Jinling Mine reached RMB 1.38 billion during the period, up 43% year-on-year, driven by higher sales volumes and improved pricing, sustaining the mine's robust growth trajectory. The mine's gross margin stood at 81% in the first half, expanding by 5.5 percentage points compared with the prior-year period.

In a recent research note, China Merchants Securities highlighted that Wanguo Gold Group operates the producing Jinling gold mine in the Solomon Islands, which boasts superior resource quality. The brokerage noted that the mine's flotation plant capacity is being expanded from 3.5 million tonnes per annum to 13.5 million tonnes per annum, underscoring significant production growth potential.

Additionally, Zijin Mining has acquired a stake in the company through a wholly-owned subsidiary, becoming one of its major shareholders. The strategic partnership is expected to facilitate experience-sharing and provide support for the Jinling project in areas such as overseas mining technology and mine operations.