ASX 200 gold shares had a phenomenal run last year as the commodity price soared to record levels.
Although materials was the second-worst performing market sector last year, gold stocks were a shining exception to their mining industry peers.
This is exemplified by the impressive 14.33% rise in the S&P/ASX All Ordinaries Gold Index (ASX: XGD) in 2024 compared to the 17.27% fall in the S&P/ASX 200 Materials Index (ASX: XMJ).
By comparison, the S&P/ASX 200 Index (ASX: XJO) lifted 7.49% (and delivered 11.44% total returns).
The gold price rose by 27% last year, representing the commodity's best annual performance since 2010.
The gold price hit an all-time record of US$2,781.9 per ounce on 30 October.
Trading Economics analysts said the rally was largely due to gold being a popular safe-haven investment during periods of global economic uncertainty.
There was higher demand for the precious metal last year. This was due to record levels of purchasing among central banks amid wars in the Middle East and Ukraine and US monetary policy easing.
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Top 5 ASX 200 gold shares of 2024
1. West African Resources Ltd (ASX: WAF)
This ASX 200 gold share soared 51.05% to close the year at $1.44 on 31 December.
In its last quarterly update, West African Resources said it was on track to deliver the upper end of its 2024 unhedged gold production guidance of 190,000 to 210,000 ounces at an all-in-sustaining cost (AISC) of less than US$1,300 per ounce. This is less than half the current global gold price.
2. De Grey Mining Limited (ASX: DEG)
This ASX 200 gold share soared 42.34% to close the year at $1.77 apiece.
Last month, De Grey Mining announced a $5B takeover deal with the ASX 200's biggest gold miner, Northern Star Resources Ltd (ASX: NST). De Grey Mining shareholders will receive 0.119 Northern Star shares per De Grey share held. As my colleague James reported, the deal implied an offer price of $2.08 per share, which was a 36.8% premium to the De Grey Mining share price at the time.
3. Perseus Mining Ltd (ASX: PRU)
This ASX 200 gold share soared 38.92% last year to finish at $2.57 apiece.
Perseus delivered record financial results and capital returns in FY24. Its net profit after tax (NPAT) was US$364.8 million, up 14%. It reported 509,977 ounces of gold production at an AISC of US$1,053 per ounce. Its average sale price was US$2,014 per ounce.
4. Genesis Minerals Limited (ASX: GMD)
This ASX 200 gold share soared 37.99% to close out the year at $2.47 on 31 December.
As my colleague James reported, Bell Potter is bullish on the Western Australian developer.
The broker explained why it had placed Genesis Minerals on its best ideas list:
Following a period of significant M&A activity, GMD has outlined plans to grow production to 325kozpa by FY29 (from 135koz in FY24), and 350kozpa by FY34. GMD aspires to get to 400kozpa and has significant optionality within its existing Resource portfolio.
GMD guides to near term growth with FY25 production guidance of 190koz to 210koz, a ~50% increase on FY24, and recently restarted the Laverton Gold Processing plant. Management is highly experienced, well known and respected. The combination of growing production, declining costs and a supportive gold price, will progressively enhance GMD as a growth platform.
5. Capricorn Metals Ltd (ASX: CMM)
This ASX 200 gold share soared 33.33% last year to end 2024 at $6.28.
At the 2024 annual general meeting, management told investors the company had more than 4 million ounces of gold reserves at its Mt Gibson and Karlawinda projects, with funded annual production growth to 300,000 ounces. Capricorn Metals acquired the prospective Sylvania Project tenements covering approximately 1,740 square kilometres and bordering Karlawinda last month.
