standout
The Australian materials index has gained 30 per cent from its February lows, capital raisings have increased, and companies have been preparing to list on the Australian Securities Exchange.
"There are several deals which are now in the wings, and the quality of them looks quite encouraging as well," said Hedley Widdup, a fund manager with Lion Selection Group who invests in the resources industry.
"They are not just a listing of an explorer, they are listings of things which look quite reasonable."
Mr Widdup said graphite and lithium have been resources to watch, as they supply the growing battery industry.
But gold has been the standout, with shares in local producers surging 60 per cent this year.
"There are a lot of companies, there is a lot of gold which is mined and sold," he said.
"Gold enjoys fabulous margins at the moment. There are close on 50 per cent margins in some producers at the moment which is unheard of in a 15-to-20-year time frame."
http://www.abc.net.au/news/2016-06-07/never-say-die-miners-hoping-the-next-boom-has-begun/7484652
