Pasofino Gold Limited (TSXV: VEIN)
Re-defining the Dugbe Gold Project
After experiencing a plunge of $70 in the previous trading session, gold futures prices rebounded strongly today. By 4:00 p.m. Eastern Time, the June contract was up $57.30 (an increase of 1.80%) to close at $3,233.67. During the session, gold prices fell to a low of $3,123 before sharply recovering by nearly 2%.
The US dollar index fell by 0.22% to 100.675, providing partial support for gold’s rebound.In addition to the weaker dollar, poor economic data and easing inflationary pressures were also key drivers behind gold’s rebound.
According to the US Department of Labor, the Producer Price Index (PPI) for April rose 2.4% year-over-year, a significant drop from March’s 3.4%. Core PPI, which excludes food and energy, also slowed, with year-over-year growth falling from 4% to 3.1%. Meanwhile, data from the US Department of Commerce showed that retail sales in April rose just 0.1% month-over-month, far below the previous value of 1.7%, indicating that consumers are cutting back on spending amid economic uncertainty.
At the GCFF Virtual 2025 Conference, Brett Richards, the CEO and Executive Director of Pasofino Gold Ltd. (TSXV: VEIN; OTCQB: EFRGF), shared the latest updates on the company’s progress. Pasofino Gold is a Canadian mineral exploration company with 100% ownership of the Dugbe Gold Project in Liberia. The company’s 2022 Feasibility Study for the Dugbe Project estimated 2.27 million ounces of gold production over 14 years. The company plans to update this estimate in 2025.
Suki Cooper, precious metals analyst at Standard Chartered Bank, cautioned that a strong dollar could put pressure on gold prices, but global economic risks continue to support a long-term uptrend for gold. Investment firm Incrementum AG reiterated in its annual report that the long-term bull market in gold is “just getting started,” projecting that gold prices could reach $4,800 by 2030, and could even soar to $8,900 if inflation spirals out of control. The firm noted that while central bank gold purchases remain an important support, future investment demand will become the main driving force.
However, analysts remind investors to be prepared for volatility. In the short term, gold prices could test the support level at $2,800, but any pullback will present an opportunity for long-term positioning. The report stressed that gold currently makes up only about 1% of investment portfolios, and public participation remains at an early stage—meaning the true “mania phase” has yet to arrive.
The US government’s attempts to reshape the trading system by depreciating the dollar have sparked controversy. Incrementum warned that a weak dollar policy could push up inflation and weaken consumption, ultimately undermining the economic foundation. Analysts called for the US to focus on fiscal discipline and innovation rather than currency intervention, and pointed out that if economic conditions worsen, the government may be forced to revert to a debt-driven model—something that would become a major bullish factor for gold.
