Borneo Oil a strong proxy for gold

Sharp rise: Borneo Oil, which also owns fast food restaurant chain SugarBun, reported a sharp jump in group pre-tax profit to RM7.6mil in the quarter ended April 30 from RM525,000 a year ago as revenue soared to RM1.49bil from RM14.6mil.

THE steep rally in gold prices this year has helped to push up the shares of Borneo Oil Corp Bhd.

At its July 22 close of 18 sen, the stock has outperformed the FBM KLCI with a 16% gain for the year, tracking the 25% increase in gold prices over the same period.