Which TSXV-listed junior gold stocks have performed the best so far this year? Our list includes the five biggest gainers.
The gold price trended downward for almost the entirety of the second quarter this year. While it managed to hit a high of US$1,352.80 on April 11, it closed down over 6 percent in Q2.
Through interest rate hikes, political uncertainty and a surging US dollar, the yellow metal lost its status as a safe-haven in the second quarter. However, despite gold’s low position during Q2, many industry insiders believe that this is simply a seasonal blip period for the yellow metal, which will begin to return to value by the end of September.
The list below was generated on July 9, 2018 using the Globe and Mail’s market data filter, and it shows the TSXV-listed gold companies that have seen the biggest share price gains year-to-date. Only companies with market caps above $10 million as of that date are included. You can also view our list of top-rising gold stocks on the TSX by clicking here.
1. Minaurum Gold (TSXV:MGG)
Current price: C$0.60; year-to-date gain: 130.77 percent
Minaurum is a regional explorer focusing on the exploration and development of high-grade gold and silver projects in the southern Sonora state, Oaxaca-Chiapas region and Guerrero gold belt. The company’s management has been credited with the discovery of over 200 million ounces silver and 8 million ounces gold in Mexico and have arranged in excess of US$2 billion in equity and debt for resource development.
At the end of May, the company raised US$1,382,248.35 in a private placement for a total gross proceeds of US$7,084,747.80. A total of 3,071,663 units were issued in the final tranche at a price of US$0.45 per unit. Minaurum will use proceeds to fund its ongoing exploration program at the Alamos silver project in Sonora state, Mexico, as well as for working capital purposes.
On June 5, the company discovered three new veins at its Alamos silver project that included various amounts of gold throughout each vein and a total of 1495 grams per tonne silver and 3.8 percent copper.
2. Pacton Gold (TSXV:PAC)
Current price: C$0.70; year-to-date gain: 125.81 percent
Pacton Gold is a Canadian junior exploration company focused on acquiring, exploring and advancing mineral assets in key mining locations across the globe.
On May 22, the company became the third largest land-holder in Australia’s Pilbara gold rush when it entered into a binding letter of intent to acquire 100 percent of the shares in Drummond East, an exploration company wholly-owned by Impact Minerals Limited (ASX:IPT). Drummond East holds seven granted tenement licenses, comprising of a total of 1,126 square kilometers.
Pacton continued its acquisition streak towards the end of the quarter and on June 20, the company announced that it had entered into a binding letter of intent to acquire 100 percent of the Bellary Dome exploration from Marindi Metals (ASX:MZN).
“The acquisition of Bellary Dome provides access to a significant strike length of highly prospective Hardy Formation and Mount Roe Basalts, where multiple flattened nuggets have been recovered proximal to the Bellary Formation conglomerate,” commented Alec Pismiris, interim president and CEO of Pacton Gold.
3. Medgold Resources (TSXV:MED)
Current price: C$0.40; year-to-date gain: 113.51 percent
Medgold is a Serbia-focused junior exploration company targeting gold-silver projects in the often under-explored Oligo-Miocene belt of southern Serbia. The company focuses on exploration efforts of high-grade and near-surface mineralization, which is hosted within the great Tethyan mineral belt—one of the largest and most metal-endowed belts in the world.
Towards the end of April, Medgold announced that it was in the position to start drilling at its Tlamino gold project in Serbia. An initial program of 1,250 metres in 11 drill holes will test high-grade gold mineralization identified from channel sampling in 2017. Highlights of the channel sampling include 5.6 grams per tonne gold and 105 grams per tonne gold over 84 meters and 55 meters.
On Thursday (July 5), the company reported that it completed its phase 1 drill program at the Tlamino project in southern Serbia.
4. Firesteel Resources (TSXV:FTR)
Current price: C$0.16; year-to-date gain: 88.24 percent
Firesteel Resources is a junior miner with a near production gold mine in Finland, which is currently considered the top mining jurisdiction in the world.
On June 12, the company released an “economically robust” preliminary economic assessment for its Lavia gold mine. Results noted that the mine has a pre-production capex of US$7,115,103 and 75,981 ounces of average annual gold production at a cash cost of US$863 per ounce. The mine boasts a six year life of mine, which should provide production of 456,600 ounces of gold over that time.
5. Majestic Gold (TSXV:MJS)
Current price: C$0.08; year-to-date gain: 60 percent
Majestic Gold is an open pit gold producer in Shandong province, China. Mining in Shandong accounts for approximately 25 percent of China’s gold output.
At the end of May, the company released its Q2 results, noting that it produced record gold production of 8,297 ounces, which was a 43-percent increase over the quarter at this time last year.
The company also had record gold production of 15,347 ounces for the six months ended March 31, 2018, a 32-percent increase over the 2017 comparative period.
Gold revenue for the second quarter was US$8.2 million from sales of 6,030 ounces compared to gold revenue of US$9.5 million from sales of 7,716 ounces during the same quarter in 2017. The company also announced that gold revenue for the six months ended March 31, 2018 was US$16.9 million.
What do you think were the best junior god stocks of Q1 2018? Let us know in the comments below.
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The data for this article was retrieved on July 9, 2018 using The Globe and Mail’s market data filter. Only TSXV-listed gold companies with market capitalizations greater than $10 million are included.
Securities Disclosure: I, Nicole Rashotte, currently hold no direct investment interest in any company mentioned in this article.
Editorial Disclosure: Pacton Gold and Firesteel Resources are clients of the Investing News Network. This article is not paid-for content.