Acacia Mining, Johnson Service Group and Highland Gold Mining

“The FTSE 100 opened lower as tensions escalated between North Korea and the US. Asian markets were firmly lower in mid-session trading following the latest comments from the US defence secretary, James Mattis,” says AJ Bell Investment Director Russ Mould.

“Acacia Mining was the FTSE250’s biggest faller in early trading after deciding it would have to reduce operational activity at the Bulyanhulu mine. Acacia has seen a build-up of around $265m of gold/copper concentrate inventory in Tanzania since the government imposed a ban on exports in March. Acacia has taken steps to reduce operating and capital costs in order to protect jobs but has seen cash outflow of around $210m so far this year. It now plans to cease underground activity and will halt the processing of underground ore within four weeks which will lead to a significant reduction in the workforce from the current 1,200 employee and 800 contractor roles. Acacia’s shares were down by more than 11.1%.

“Johnson Service Group was an early riser after a strong first half performance which reflected both strong organic growth and recent acquisitions. The group is well placed to exploit opportunities that exist within its market sectors and is on track to deliver full-year results slightly ahead of current forecasts. JSG’s shares were up by over 2.1%.

“Highland Gold Mining's shares were up in early trading despite a fall in first half net profits. Total production rose by 2.4% and earnings fell chiefly due to the stronger rouble which saw all-in sustaining costs increase to $674 per ounce from $609 a year ago. Highland Gold’s shares were up by more than 1.5%.”

These articles are for information purposes only and are not a personal recommendation or advice.