Last year wasn't kind to BHP Group Ltd (ASX: BHP), Fortescue Ltd (ASX: FMG), and Rio Tinto Ltd (ASX: RIO) shares.
All three ASX 200 mining shares sank deep into the red and weighed heavily on the performance of the ASX 200 index.
But not all mining shares were out of form. Some even managed to deliver huge returns for investors. Here's why these were the best performers in the industry:
West African Resources Ltd (ASX: WAF)
The West African Resources share price was the best performer in the ASX 200 mining sector with a gain of almost 52%. A booming gold price and a strong operational performance helped drive this gold miner's shares higher. In respect to its performance, executive chairman and CEO, Richard Hyde, said: "WAF delivered another strong result in H1 2024 producing 107,644 ounces of gold at US$1,223 per ounce AISC, generating A$116 million cashflow from operations." And with the construction of its Kiaka operation progressing well, the gold miner is on track to produce 4 million ounces of gold over the next decade.
De Grey Mining Limited (ASX: DEG)
The De Grey share price delivered a 43% return in 2024. This was driven by news that the gold miner has agreed to be acquired by industry giant Northern Star Resources Ltd (ASX: NST). The ASX 200 mining share accepted an offer of 0.119 new Northern Star shares for each De Grey share held. This represented an implied offer price of $2.08 per share, which was a 36.8% premium and valued De Grey at approximately $5 billion.
Perseus Mining Ltd (ASX: PRU)
The Perseus Mining share price wasn't far behind with a gain of 39% over the 12 months. It was another ASX 200 mining share that benefited from a strong gain by the gold price.
Capricorn Metals Ltd (ASX: CMM)
The Capricorn Metals share price was also on form and charged 33% higher in 2024. As with the other gold miners, this strong gain was driven by a booming gold price. The precious metal hit a record high during the year due to geopolitical tensions and interest rate cut optimism.
Yancoal Australia Ltd (ASX: YAL)
The Yancoal share price was a strong performer and recorded a gain of 31%. Investors were buying this ASX 200 mining share thanks to its robust performance in FY 2024. During the first half, the coal miner reported revenue of $3,138 million and operating EBITDA of $990 million. This allowed the company to continue paying bumper dividends to shareholders.
