5 Top Weekly TSXV Performers: Western Magnesium Up 70 Percent

Last week’s top-gaining mining stocks on the TSXV were Western Magnesium, Volcanic Gold, Lithium South, West High Yield and Colonial Coal.

The S&P/TSX Venture Composite Index (INDEXTSI:JX) had ups and downs last week, but ultimately ended higher — it opened the period at 939.85 and closed at 948.27.

New figures show Canada’s inflation rate rose to 4.4 percent in September, its highest point in 18 years.

According to Statistics Canada, higher prices for transportation, shelter and food contributed the most to the jump in the cost of living. The transportation index is up over 9 percent year-on-year, while shelter costs are up 4.8 percent and food prices are up 3.9 percent.

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

  • Western Magnesium (TSXV:WMG)
  • Volcanic Gold Mines (TSXV:VG)
  • Lithium South Development (TSXV:LIS)
  • West High Yield Resources (TSXV:WHY)
  • Colonial Coal (TSXV:CAD)

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

1. Western Magnesium

Western Magnesium is focused on becoming a low-cost producer of eco-friendly and high-quality magnesium. It intends to use a continuous silicothermic process to produce the metal.

Last Monday (October 18), the company announced the completion of commissioning for its continuous pilot reactor, meaning it is now ready to receive feed. According to Western Magnesium, feed material is being prepared and once that happens the reactor will begin to operate.

“Not only will the new reactor be able to produce magnesium metal at our Fort St. John facility, but we will be able to expand production once our main commercial pilot plant is fully assembled and operational,” said Sam Ataya, executive president and CEO.

Company shares rose 73.91 percent last week to end at C$0.80. During the period, the firm also appointed Jacquelyn Hayes-Byrd as executive vice president for communications and government affairs.

2. Volcanic Gold Mines

Volcanic Gold Mines’ goal is to become a leading goldsilver company, and its focus is on building multimillion ounce gold and silver resources in underexplored countries.

The company released drill results last Tuesday (October 19), reporting “bonanza high grades,” including 4.58 meters at 79.84 grams per tonne gold and 5,053 grams per tonne silver in the south extension of the La Peña vein at the Holly property in Guatemala. Drilling has now moved to the Banderas property. The news sent Volcanic’s share price up 66.2 percent to close at C$0.59.

3. Lithium South Development

Lithium South Development is moving forward at the Argentina-based Hombre Muerto North lithium project in the country’s Hombre Muerto Salar. A 2019 preliminary economic assessment looks at conventional evaporation extraction, but the company is evaluating alternative extraction methods too.

Last Tuesday, Lithium South shared the news that Eon Minerals will be conducting test work to produce battery-grade lithium carbonate from a bulk sample of brine that will be recovered from Hombre Muerto North. The testing will use conventional process technology based on the proven lithium evaporation extraction process. Company shares rose 65.22 percent last week to close at C$0.76.

4. West High Yield Resources

Exploration and development company West High Yield Resources states that its primary objective is to develop its British Columbia-based Record Ridge magnesium deposit using green processing techniques to minimize waste and carbon dioxide emissions.

Last Friday (October 22), the company’s board of directors approved and authorized the grant of 350,000 stock options to a consultant of West High Yield. Shares increased 64 percent to close at C$0.41.

5. Colonial Coal

Colonial Coal International is a pure-play metallurgical coal developer. It has 100 percent interests in the resource-stage Huguenot and Flatbed coal properties in Northeastern BC’s Peace River coalfield.

There was no fresh news from the company last week, but it rose 60.68 percent to end at C$3.31.

Data for 5 Top Weekly TSX Stocks articles is retrieved each Friday at 10:30 a.m. PST 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, Charlotte McLeod, hold no direct investment interest in any company mentioned in this article.


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