Iron Ore Stocks Round-Up

A look at iron ore stocks continuing to make progress despite the tough iron ore market.

The iron ore price hasn’t fared well over the past few years, and this year dropped as low as US$44 per tonne; it’s hovered around the US$50 mark throughout Q3.
Oversupply from industry giants Rio Tinto (ASX:RIO,NYSE:RIO,LSE:RIO), Vale (NYSE:VALE), BHP Billiton (ASX:BHP,NYSE:BHP,LSE:BLT) and Fortescue Metals (ASX:FMG) has been a major cause of the price drop. The companies are trying to muscle higher-cost competitors out of the market.
Unsurprisingly, some iron ore companies have faced hardship this year due to price pressure — both Alderon Iron Ore (TSX:ADV,NYSEMKT:AXX) and Iron Ore Company of Canada (IOC) are facing uncertainties. However, a few junior and mid-cap iron ore stocks have managed to stay afloat through these difficult times. With that in mind, the Investing News Network has put together a list of some the iron ore stocks that continue to progress.

Cliffs Natural Resources

Cliffs Natural Resources (NYSE:CLF) began restructuring in January, looking to sell its Bloom Lake mine in Quebec and focus on its US assets. Cliffs also sold its chromite assets in Northern Ontario to Noront Resources (TSXV:NOT) in March.
While the strategy might seem fairly straightforward, the company hit a few snags along the way, including a lawsuit from the Bank of Nova Scotia (TSX:BNS) because of an alleged breached loan agreement. That said, Cliffs has seemingly turned things around, and reported significant cost reductions in Q3. The company reduced its US iron ore cash production costs to $49 per tonne, a 16-percent decrease from Q3 2014, and recorded net income of $6 million compared to a net loss of $6.9 billion year-on-year.

Ferrum Crescent

Ferrum (ASX:FCR) is focused on its Moonlight project in Limpopo, which has a JORC compliant resource of 307.8 million tonnes at 26.9 percent.
In October, the company announced that it will begin the first phase of a bankable feasibility study in the fourth quarter of 2015. Ferrum signed an agreement with Business Venture Investments to form a joint venture for the completion of the study in exchange for up to a 43-percent equity interest in the project’s holding company, Ferrum Iron Ore.

Atlas Iron

Atlas Iron (ASX:AGO) has iron ore operations in the Pilbara region of Western Australia, including the 100-percent-owned Wodgina project, the Abydos mine and the Mt Webber mine.
In October, Atlas Iron announced a production ramp up at its Pilbara operations four months ahead of schedule to 14 million to 15 million tonnes per year and lowered cash costs for the third quarter.
And despite the difficulties in the iron ore market, the company has managed to secure sales. In late September, Atlas signed a key new iron ore sales agreement with a major international trading group for 5 million tonnes per annum of Atlas standard fines for up to two years.

Champion Iron

Champion Iron (TSX:CIA) is focused on developing projects in the prolific Labrador Trough, with resources in Quebec and Newfoundland and Labrador. The company’s flagship Fire Lake North project has a total resource of 3.4 billion tonnes; 1.2 billion tonnes outlined in the Fire Lake North east pit and west pit are currently in the feasibility study stage.

Century Iron Mines

Century Iron Mines (TSXV:FER) is also focused on the Labrador Trough, with interests in various exploration properties in the prolific region. The company has approximately 8.4 billion tonnes of measured and indicated resources and about 11 billion tonnes of inferred resources.
The company also has two key strategic partners, Chinese state-owned enterprises WISCO and Minmetals, which provide Century with financial resource and technical expertise.
Last week, the company filed its condensed consolidated interim financial statement for Q2 and reported substantial corporate working capital of $38.2 million. The capital is comprised of $26.9 million in cash and bank deposits and $11.3 million in net receivables that are not tied to any iron ore project development.

Northern Iron

Northern Iron (TSXV:NFE) is a junior exploration company is focused on developing its projects in the Red Lake mining division in Northwest Ontario. Throughout 2015, the company has been working to develop its Griffith property, which is approximately 1,776 hectares in size and consists of 24 unpatented contiguous mining claims.
In July, the company announced the completion of ground magnetic surveys at the property. They were able to outline the main iron ore formation that was previously partially extracted, and also revealed the main north-northeast to northeast trend.

Iberian Minerals

Despite the low iron ore price, Iberian Minerals (TSXV:IML) has continued to advance its Cehegin project in Spain. The company regained a 100-percent interest in Cehegin Iron Ore Holdings in September, and with it full ownership of the project. More recently, Iberian announced that it has entered into an amalgamation agreement with Mineworx Technologies and will be acquiring all of its outstanding shares by way of a three-cornered amalgamation.

Tawana Resources

Tawana (ASX:TAW,JSE:TAW) is focused on its Mofe Creek iron ore project, located in one of Liberia’s historic iron ore mining districts. In October, the company announced that the Liberian Environmental Protection Agency has granted approval for the scoping study and terms of reference for an environmental and social impact assessment for the project. The approval is a major milestone for the company, as it represents the culmination of over a year’s technical and geological field work.

Iron Road

Iron Road (ASX:IRD) is an ASX-listed company with two iron ore projects in South Australia: the Central Eyre project, which is a a collection of three iron occurrences, and the Gawler project. In early November, the company announced that it has submitted a mining lease application, a mining lease proposal and an environmental impact statement for its Central Eyre iron project.



Securities Disclosure: I, Kristen Moran, hold no direct investment interest in any company mentioned in this article.
Featured
Labrador Iron Ore Royalty Corporation announced that Iron Ore Company of Canada has declared a dividend payable on December 23, 2021. The Corporation's portion is U.S. $37,750,000 or about CDN. $47.9 million. About Labrador Iron Ore Royalty Corporation The Corporation holds a 15.10% equity interest in IOC directly and through its wholly-owned subsidiary, Hollinger-Hanna Limited, and receives a 7% gross ...

Labrador Iron Ore Royalty Corporation (the "Corporation") announced that Iron Ore Company of Canada ("IOC") has declared a dividend payable on December 23, 2021. The Corporation's portion is U.S. $37,750,000 or about CDN. $47.9 million.

About Labrador Iron Ore Royalty Corporation

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Labrador Iron Ore Royalty Corporation announced today its operation and cash flow results for the quarter ended September 30, 2021 . Financial Performance In the third quarter of 2021, LIORC's financial results benefited from higher iron ore prices and pellet premiums, partially offset by lower volumes of concentrate for sale sales. Royalty revenue for the third quarter of 2021 amounted to $74.2 million compared to ...

Labrador Iron Ore Royalty Corporation ("LIORC") (TSX: LIF) announced today its operation and cash flow results for the quarter ended September 30, 2021 .

Financial Performance

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Today Rio Tinto released its quarterly operational report for the third quarter ending September 30, 2021 which included Iron Ore Company of Canada  production and sales information. Specifically, Rio Tinto announced that in the third quarter of 2021, IOC had total saleable iron ore production of 3.68 million tonnes, comprised of 2.27 million tonnes of pellets and 1.41 million tonnes of concentrate for sale . Rio ...

Today Rio Tinto released its quarterly operational report for the third quarter ending September 30, 2021 which included Iron Ore Company of Canada (IOC) production and sales information. Specifically, Rio Tinto announced that in the third quarter of 2021, IOC had total saleable iron ore production of 3.68 million tonnes, comprised of 2.27 million tonnes of pellets and 1.41 million tonnes of concentrate for sale (CFS). Rio Tinto also announced that IOC had total iron ore sales in the third quarter of 2021 of 4.14 million tonnes, comprised of 2.34 million tonnes of pellets and 1.80 million tonnes of CFS. Comparisons to prior quarters and Rio Tinto's commentary on the changes can be found in Rio Tinto's quarterly operational report which is posted on their website. Please note that the IOC sales tonnages are calculated slightly differently for Labrador Iron Ore Royalty Corporation's (LIORC) royalty.

IOC's total saleable production (CFS plus pellets) for the nine months ending September 30, 2021 was 12.31 million tonnes. As a result of lower than anticipated production year-to-date, Rio Tinto has lowered its 2021 full year guidance for IOC's saleable production tonnage from 17.9 to 20.4 million tonnes to 16.2 to 17.9 million tonnes.

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Last week's top-gaining stocks on the TSX were Sierra Metals, Champion Iron, SouthGobi Resources, Verde Agritech and Forza Petroleum.

The S&P/TSX Composite Index (INDEXTSI:OSPTX) was trading at 21,198.01 by midday this past Friday (November 26). It closed the period at 21,129.53.

The index opened lower as energy stocks fell on the back of declining oil prices, which hit a two month low on the last day of the trading week.

On Friday, investors turned to safe haven assets as concerns over a new coronavirus variant increased. Gold gained, but silver fell and was on track for a weekly loss.


Last week's five TSX-listed mining stocks that saw the biggest gains are as follows:

  • Sierra Metals (TSX:SMT)
  • Champion Iron (TSX:CIA)
  • SouthGobi Resources (TSX:SGQ)
  • Verde Agritech (TSX:NPK)
  • Forza Petroleum (TSX:FORZ)

Here's a look at those companies and the factors that moved their share prices last week.

1. Sierra Metals

Sierra Metals is a growing polymetallic mining company with copper production from its Yauricocha mine in Peru and its Bolivar and Cusi mines in Mexico.

The company did not release news last week, but shares of Sierra Metals increased 8.67 percent during the period and were trading at C$1.88 by the end of the week.

2. Champion Iron

Champion Iron is an iron ore exploration and development company with several major projects in the Southern Labrador Trough, considered the largest iron ore-producing region in Canada.The company is currently developing eight iron-rich projects, including its flagship Bloom Lake asset.

Last week, Champion Iron shares increased 8.29 percent to end at C$4.05.

3. SouthGobi Resources

Integrated coal supplier SouthGobi Resources is focused on its flagship Ovoot Tolgoi mine, the closest coal mine to China, located 46 kilometers north of China-Mongolia border. The company also holds mining and exploration licences for other metallurgical and thermal coal deposits in the South Gobi province of Mongolia.

Over the five day period, shares of SouthGobi Resources increased 7.46 percent to end the week at C$0.36.

4. Verde Agritech

Verde AgriTech is developing its Cerrado Verde project, located in Brazil. The project is the source of a potassium-rich deposit from which the company intends to produce solutions for crop nutrition, crop protection, soil improvement and better sustainability.

Last Wednesday (November 24), the company announced a 169 percent rise in revenue for Q3, and revised its target for the year upward. Verde Agritech saw its share price increase 6.29 percent last week to hit C$1.86.

5. Forza Petroleum

Forza Petroleum, formerly Oryx Petroleum, is an oil exploration, development and production company. It has a 65 percent participating interest in and operates the Hawler license area in Iraq's Kurdistan region.

Last week, shares of Forza Petroleum increased 6.25 percent to trade at C$0.17 by the end of the week.

Data for 5 Top Weekly TSX Stocks articles is retrieved each Friday at 11:00 a.m. EST using TradingView's stock screener. Only companies with market capitalizations greater than C$50 million prior to the week's gains are included. Companies within the non-energy minerals and energy minerals are considered.

Don't forget to follow us @INN_Resource for real-time updates!

Securities Disclosure: I, Priscila Barrera, hold no direct investment interest in any company mentioned in this article.

Editorial Disclosure: Energy Fuels is a client of the Investing News Network. This artice is not paid-for content.

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Last week's top-gaining mining stocks on the TSXV were Adex Mining, Butte Energy, Noble Mineral Exploration, AurCrest Gold and International Iconic Gold.

The S&P/TSX Venture Composite Index (INDEXTSI:JX) ended last week on the decline, shedding 27 points shortly after the morning bell on Friday (November 26). It closed at 942.62.

Global markets were plunged into uncertainty as news that a recently discovered COVID-19 variant known as omicron may be more contagious and potentially vaccine resistant.

Several European and Asian nations scrambled during the last full week of November to implement border and flight restrictions in an effort to curb the spread of the variant, which was first detected in South Africa.


Concern that the new mutation could hinder economic recovery weighed heavily on North American markets, with most of the leading indexes slipping lower Friday morning. The energy sector bore the brunt of the declines, with West Texas crude oil dropping 9 percent and Brent crude losing 8 percent.

Gold also faced headwinds from the uncertainty. It fell below US$1,800 per ounce on Tuesday (November 23), and remained under pressure throughout the week, only briefly rallying above US$1,800 early on Friday.

Last week's five TSXV-listed mining stocks that saw the biggest gains are as follows:

Here's a look at what may have moved their share prices during the period.

1. Adex Mining

Explorer Adex Mining is developing the Mount Pleasant mine property in New Brunswick. The site houses two distinct deposits: the Fire Tower zone, which hosts a significant molybdenum and tungsten resource, and the North zone, which contains the world's largest indium reserve and one of North America's largest tin resources.

Adex filed a number of documents on SEDAR last week, including its latest management's discussion and analysis document. Company shares rose 50 percent for the last full week of November, ending the session at C$0.02.

2. Butte Energy

Butte Energy was previously engaged in the acquisition, exploration and development of petroleum and natural gas reserves in Western Canada. The company sold its last remaining asset in 2017 and currently has no active operations other than the completion of reclamation activities on previously abandoned wells.

Late last year, Butte brought on a new board and management team that is actively evaluating potential opportunities, including those outside of the oil and gas industry.

Last Tuesday (November 23), the firm released its interim financial statement and management overview.

"In order to fund future operations or acquisitions, the company will need to raise additional funds by way of equity or debt. There is no assurance that the company will be able to raise such funds on terms acceptable to it," the overview reads. "These factors indicate the existence of a material uncertainty that may cast significant doubt about the Company's ability to continue as a going concern."

Shares of Butte rose 36.75 percent last week, ending the session at C$0.20.

3. Noble Mineral Exploration

Noble Mineral Exploration has holdings in Canada Nickel Company (TSXV:CNC,OTCQX:CNIKF), Spruce Ridge Resources (TSXV:SHL,OTC Pink:SRCGF) and MacDonald Mines Exploration (TSXV:BMK,OTC Pink:MCDMF).

Additionally, the diversified explorer has an interest in the Holdsworth gold exploration property near Wawa, Ontario. The property is comprised of approximately 72,000 hectares of mineral rights in the Timmins-Cochrane areas of Northern Ontario known as Project 81. According to Noble, Project 81 hosts diversified drill-ready gold, nickel-cobalt and base metals exploration targets at various stages of exploration.

Last week, the company entered into a letter of intent (LOI) with Canada Nickel Company to option mining claims in the Mann, Hanna, Duff and Reaume townships. The deal will also see Noble sell its MRO patents in Kingsmill and Mabee townships to the nickel-focused company.

"We are extremely pleased to be able to invite Canada Nickel, with their expertise, to secure this very large land package as it represents a 20km strike length where evidence of nickel, cobalt, PGM's, rhodium and rare earth minerals have been found to be present in work carried out by past explorers," said Vance White, president and CEO of Noble. The LOI news sent shares of Noble 22.83 percent higher, ending the trading week at C$0.13.

4. AurCrest Gold

AurCrest Gold is a mineral exploration company focused on the acquisition, exploration and development of gold properties. Presently, the gold-centered firm has a portfolio of assets in Ontario, including the Richardson Lake, Ranger Lake and Bridget Lake gold projects.

In mid-November, the explorer released results from a spring/summer program at its 100 percent owned Ranger Lake property. The program consisted of nine drill holes designed to test one of three high-priority targets.

"Eight drill holes encountered sulphide veins and stringer zones over 1-7 metre intervals hosted in a metasedimentary sequence," the report reads. "Veins and host rocks are sheared and folded, and display characteristics consistent with stages of post-mineralization deformation and partial melting, the latter inferred by quartz-alkali feldspar leucosomal bands."

AurCrest shares added 22.46 percent last week to trade for C$0.35.

5. International Iconic Gold

Exploration company International Iconic Gold is focused on developing its wholly owned San Roque gold project, located in the Rio Negro province of Northeastern Patagonia, Argentina.

According to the company, a gold, silver and base metals resource assessment released in July 2019 shows an inferred mineral resource of 32.9 million tonnes grading 1.42 grams per tonne gold equivalent (AuEq) for 1,499,900 AuEq ounces at a cut-off grade of 0.6 grams per tonne AuEq.

Last Wednesday (November 24), the firm increased its ownership to 100 percent in Minas San Roque (MSR), which owns the legal title to the mining claims comprising Iconic Gold's flagship San Roque property.

"MSR's ownership of the deposit and the prospective geology around it are protected by a system of mine rights. Three federal government mining concessions, known as 'Minas,' totaling 94.5 square kilometers (sq. km) have been granted to MSR," the late November press release states. "In addition, MSR controls eleven temporary mineral exploration licenses, known as 'Cateos,' covering 645 sq. km around the Minas."

By Friday, shares of Iconic Gold had climbed 20.77 percent to close at C$0.14.

Data for 5 Top Weekly TSXV Stocks articles is retrieved each Friday at 11:00 a.m. EST using TradingView's stock screener. Only companies with market capitalizations greater than C$10 million prior to the week's gains are included. Companies within the non-energy minerals and energy minerals are considered.

Don't forget to follow us @INN_Resource for real-time updates!

Securities Disclosure: I, Georgia Williams, hold no direct investment interest in any company mentioned in this article.

Editorial Disclosure: Canada Nickel Company, MacDonald Mines Exploration, Noble Mineral Exploration and Spruce Ridge Resources are clients of the Investing News Network. This article is not paid-for content.

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