The Silver Lake Resources Limited (ASX: SLR) share price plunged more than 8% today.
The company's shares dropped 8.15% to trade at $1.24. For perspective, the S&P/ASX 200 Index (ASX: XJO) descended 0.94% today.
So what's going on with the Silver Lake share price?
Why did the Silver Lake share price fall?
Silver Lake shares fell today, but it was not alone in the materials sector. The S&P/ASX 200 Materials Index (ASX: XMJ) descended 1.47% today on the ASX.
Despite the name, Silver Lake is a gold and copper producer intent on cash flow generation from two projects in Western Australia. These include the Deflector and Mount Monger projects.
The company's share price appears to be falling amid falling gold and copper prices.
The Evolution Mining Ltd (ASX: EVN) share price descended 6.98% today, while the Northern Star Resources Ltd (ASX: NST) lost 5.64%.
Gold prices have descended to close to their lowest levels in two weeks, trading economics data shows.
The gold price is currently down 0.17% to US$1816.7 per ounce. The gold price is under pressure amid the high US dollar, IG reports.
Meanwhile, copper prices have also descended 1.25% to US$3.7245 per pound due to recession fears.
Silverlake produced 53,822 ounces of gold and 262 tonnes of copper in the March quarter. In the year to date, the company has achieved production of 182,778 ounces of gold and 756 tonnes of copper.
Silverlake share price snapshot
The Silverlake share price has fallen nearly 28% in the past year, while it has dived 30% year to date.
For perspective, the benchmark ASX 200 index has lost about 8% in a year.
Silverlake has a market capitalisation of about $1.16 billion based on the current share price.
