Shares of GT GOLD (HKEX: 08299) have surged more than 8% again. At the time of writing, the stock is up 6.67% to HK$0.32, with a turnover of HK$2.25 million.

The recent price movement follows the company's announcement providing further details on a significant transaction to acquire two gold mining project companies in Ningshan County, Shaanxi Province.

The announcement indicates that an independent valuer has confirmed the fair value of 100% equity in the target group to be approximately HK$1.13 billion. GT GOLD will secure an 80% equity stake for a total consideration of HK$585 million, representing a discount of about 35%.

Furthermore, the proven and controlled gold metal resources of the target mines amount to 699,000 ounces. Based on calculations, the acquisition cost per ounce of resource is only about US$114.

A Look at Recent Financial Performance

Last month, GT GOLD disclosed a profit alert, forecasting revenue for the 2026 fiscal year to reach HK$2.005 billion, a substantial increase of 53% year-over-year. Net profit for the same period is also expected to surge 53% to HK$145 million.

Significance of the Growth

The significant growth in these core financial metrics demonstrates that the company's existing mines are unleashing robust earnings elasticity during the current favorable gold market cycle.

Future Growth Prospects

Looking ahead, as the Ningshan mines commence operations as scheduled, this mature asset—with its distinct cost advantages and complete operational licenses—is poised to formally inject new growth momentum into GT GOLD.