The All Ordinaries Index (ASX: XAO) has gained 4.3% over the past year, but this ASX All Ords gold stock has left those gains in the dust.
The surging company in question is African-focused gold explorer Wia Gold Ltd (ASX: WIA).
One year ago, you could have bought Wia Gold shares for 11 cents apiece. In afternoon trade today, those same shares are changing hands for 22 cents apiece, up 100%.
The ASX All Ords gold stock has certainly been catching heady tailwinds from the fast-rising gold price.
Amid rising global uncertainties and strong central bank buying, the yellow metal's haven status has seen the gold price soar from US$2,314 per ounce 12 months ago to US$3,407 today, up 47.2%.
That's helped boost most gold stocks, with the S&P/ASX All Ordinaries Gold Index (ASX: XGD) up 62.3% in a year.
But with investors pricing in future growth from its Namibian and Cote d'Ivoire projects, Wia shares have also raced ahead of the All Ords Gold Index.
And, according to PAC Partners' James Nicolaou, Wia Gold could continue to outpace the market in the year ahead (courtesy of The Bull).
Here's why.
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ASX All Ords gold stock well-placed for growth
"This explorer is advancing its recent Kokoseb gold discovery in Namibia," said Nicolaou, who has a buy recommendation on the ASX All Ords gold stock.
The first reason he's bullish on Wia Gold is its latest exploration results and the relatively low mining cost estimates.
Nicolaou said:
Wia recently released encouraging assay results from a drilling campaign involving a total of 33 holes across 7,414 metres. The 2.1 million ounce resource is already economic at US$1,800 an ounce.
The second reason Wia Gold could smash the benchmark returns again in the year ahead is a looming resource upgrade.
According to Nicolaou:
A gold resource upgrade is possible in the third quarter of fiscal year 2025. The company announced it was expanding mineralisation beyond the existing mineral resource estimate boundary.
And the third reason the ASX All Ords gold stock is a buy today is the potential for mergers and acquisitions.
"Demand for gold in Namibia underpins appealing merger and acquisition activity," Nicolaou said.
What's the latest from Wia Gold?
The ASX All Ords gold stock released the Kokoseb drill results Nicolaou mentioned above on 15 April.
Commenting on those results on the day, Wia Gold executive chairman Josef El-Raghy said:
Our drilling continues to confirm the consistency of mineralisation in both width and grade, which is expected to positively contribute to increased confidence in the Mineral Resource Estimate (MRE) and support a resource upgrade.
Wia is beginning to see significant results from the accelerated drilling campaign, with five to six rigs in operation since the beginning of the year. Importantly, we are expanding mineralisation beyond the current MRE boundary, further reinforcing our confidence in growth from the Kokoseb Gold Project.
As at 31 March, Wia Gold held a cash balance of $33.8 million (excluding trade creditors) with no debt.
