The company has executed a non-binding term sheet with High Power Exploration, a private firm with ties to mining magnate Robert Friedland.
The S&P/TSX Venture Composite Index (INDEXTSI:JX) fell 0.26 percent on Friday (September 1) to end at 774.83 points.
Losses in the energy and materials sectors weighed on Canadian stock exchanges, and oil and gas prices fell. Meanwhile, US stocks opened higher as the country’s latest jobs report failed to meet analysts’ expectations. The results could cause the US Federal Reserve to avoid or postpone hiking interest rates again in 2017.
Against that backdrop, a number of TSXV-listed mining stocks experienced significant share price gains last week. The five top gainers are as follows:
- Fjordland Exploration (TSXV:FEX)
- Noble Mineral Exploration (TSXV:NOB)
- Aurion Resources (TSXV:AU)
- Hunt Mining (TSXV:HMX)
- Maya Gold & Silver (TSXV:MYA)
Read on for a brief overview of those companies and the factors that moved their share prices last week.
Fjordland Exploration’s share price rose 175 percent last week to close at $0.39. During the period, the company announced plans to raise up to $1.7 million through a non-brokered private placement. It will use the money for an exploration program at its South Voisey’s Bay nickel-copper–cobalt project.
The company also said it has executed a non-binding term sheet with High Power Exploration, a private firm in which mining magnate Robert Friedland holds a stake. The term sheet forms the basis for establishing a strategic relationship between Fjordland and High Power.
Under the term sheet, High Power will purchase 14 million units of Fjordland’s private placement for a total of $1.4 million. High Power will also fund, on behalf of Fjordland, the next $7.4 million of exploration expenditures and cash payments of $290,000 required under a letter of intent (LOI) between Fjordland and Commander Resources (TSXV:CMD). By fulfilling the conditions laid out in the LOI, Fjordland will gain a 100-percent stake in South Voisey’s Bay.
Noble Mineral Exploration
Noble Mineral Exploration has a nickel-gold project in Ontario, as well as various diversified exploration-stage gold projects in the area. The firm also has a uranium project in Saskatchewan.
On August 25, the firm put out a release saying it is waiting for the results of an airborne survey over its Carnegie Township properties. According to the company, the goal of the survey is to “identify discrete conductors that could be located on the ground to follow up on historical drilling that exhibit copper-lead–zinc mineralization.”
The same day, Noble announced a private placement and said it has entered into an option and joint venture agreement with private investors on 2,000 hectares of lands located within Carnegie Township properties. The first tranche of the private placement closed on September 1, and Noble received gross proceeds amounting to $827,000. Its share price rose 64.29 percent last week to close at $0.11.
Aurion Resources is focused on generating and acquiring early stage precious metals exploration projects and advancing them through business partnerships or joint ventures. It is currently focusing on its properties in Finland, and has a joint venture in place with B2Gold (TSX:BTO,NYSEMKT:BTG).
The company’s latest news came at the beginning of August, when it extended the high-grade Aamurusko zone at its Finland-based Riski gold project to 1.4 kilometers via ongoing prospecting and geological mapping. It did not release any news last week, but is scheduled to begin a drill program at Riski on September 5. Last week Aurion’s share price rose 38.74 percent to close at $2.65.
Hunt Mining is focused on precious metals exploration and development, and its core projects are located in Argentina. It acquired the Martha mine from Coeur Mining (NYSE:CDE) in 2016, and began producing silver concentrate there early this year.
On August 30, the firm announced the shipment of 66,741 troy ounces of silver and 67.87 troy ounces of gold, or 71,921 silver equivalent troy ounces. The company said it plans to ramp up mine production over the next few months. Its share price rose 34.48 percent over the course of last week to close at $0.19.
Maya Gold & Silver
Last week, Morocco-focused Maya Gold & Silver released its unaudited condensed consolidated financial statements accompanied by management’s discussion and analysis for the six-month period ended on June 30. According to the company, its Zgounder silver mine produced 279,548 ounces of silver during the period; that’s a 4.34-percent increase from the first half period of 2016.
The company’s share price rose 31.15 percent over the course of last week to close at $0.40.
Data for 5 Top Weekly TSXV Stocks articles is retrieved each Friday at 10:30 a.m. PST using The Globe and Mail’s market data filter. Only companies with a market capitalization greater than $10 million prior to the week’s gains are included. Companies within the mining and precious metals sectors are considered.
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Securities Disclosure: I, Melissa Shaw, hold no direct investment interest in any company mentioned in this article.