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TABLE OF CONTENTS Jun 2 - 8, 2014 Volume 100 Number 16 - 0 comments

TSX accelerates, May 19-23

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2014-05-28

Energy and banking stocks helped drive the S&P/TSX Composite Index higher, while Canada’s main stock index also got a lift from reassuring comments mid-week in the U.S. from the Federal Reserve that it remains committed to withdrawing support to the economy. The S&P/TSX Composite Index climbed 193.36 points, or 1.33% to 14,708.10, and the S&P/TSX Capped Diversified Metals & Mining Index rose 21.89 points, or 2.54%, to 885.15. The New York spot price of gold stayed relatively flat at US$1,292.90 per oz., and the S&P/TSX Global Gold Index lost 0.27 point, or 0.15%, to close at 176.74.

Sulliden Gold shares surged 35.9% to $1.06 on a $300-million friendly takeover bid by Rio Alto Mining. Under the agreement Rio Alto will exchange 0.525 of its share for each Sulliden share, valuing Sulliden at $1.12 per share — a 43.4% premium over Sulliden’s closing share price on May 20. The deal would combine Rio Alto’s producing La Arena gold oxide mine in Peru with Sulliden’s Shahuindo gold-development project 30 km north, and would create a mid-tier gold firm with low-cost operations in Peru. Rio Alto shares dropped 18¢ to $1.96.

Midway Gold climbed 22% to $1.05 on news that it had signed a binding commitment letter with the Commonwealth Bank of Australia for a US$55-million, three-year senior secured project finance facility for its open-pit, heap-leach Pan project in Nevada.

Ivanhoe Mines dropped 23¢ to $1.40 in the wake of a $150-million bought-deal financing with a group of underwriters led by BMO Capital Markets, CIBC and Macquarie Capital. The offering of 83.3 million units was priced at $1.50 per unit for gross proceeds of $125 million. Each unit was made up of one share and one warrant that allows the holder to buy a share at $1.80 within 18 months. Executive chairman Robert Friedland also privately placed $25-million worth of units under the same terms. With the financing Ivanhoe Mines can work on its projects in the Democratic Republic of the Congo.

Dominion Diamond shares climbed 52¢ to $13.83. The company reported on May 20 that rough diamond production, sales and pricing exceeded targets for the fiscal first quarter (from February to April 2014), and that the estimated value of the company’s production at current sale prices exceeded expectations by $100 million. For the three months ended April 30, 2014, production at the Ekati diamond mine on a 100% basis was 24% ahead of targets, while production at the Diavik diamond mine (40%) was 13% ahead of targets. The company recorded first-quarter sales of $175.5 million. It also reported that overall pricing was up 7% since Dec. 31.

TSX most active issues


    Volume  
Company Symbol (000s) High Low Close Change
Sulliden Gold SUE 20099 1.12 0.77 1.06 + 0.28
Eastern Platin ELR 19096 0.09 0.07 0.09 + 0.02
B2Gold BTO 11732 3.05 2.87 2.95 + 0.08
Balmoral Res BAR 9625 1.3 1.08 1.16 + 0.08
Rio Alto Mng RIO 9124 2.17 1.85 1.96 - 0.18
Ivanhoe Mines IVN 8145 1.7 1.35 1.4 - 0.23
Yamana Gold YRI 8050 8.38 8.1 8.21 + 0.17
Potash Cp Sask POT 7074 40.72 39.1 39.5 - 0.63
Lundin Mng LUN 7000 5.97 5.54 5.86 + 0.26
Contintl Gold CNL 6458 3.95 3.21 3.31 - 0.63

TSX greatest percentage change


    Volume  
Company Symbol (000s) High Low Close Change
Sulliden Gold SUE 20099 1.12 0.77 1.06 + 35.9
Eastern Platin ELR 19096 0.09 0.07 0.09 + 28.5
EMC Metals EMC 1907 0.12 0.09 0.12 + 27.7
Midway Gold MDW 88 1.16 0.89 1.05 + 22
Ratel Grp RTG 1421 0.13 0.11 0.13 + 18.1
Strateco Res RSC 310 0.07 0.06 0.07 + 18.1
Ram Power RPG 2485 0.07 0.06 0.07 + 16.6
Carpathian Gld CPN 1590 0.03 0.03 0.03 + 15.3
Foraco Intl FAR 14 0.7 0.67 0.7 + 14.7
Energy Fuels EFR 129 8.57 7.15 8.31 + 14.7
Talon Metals TLO 322 0.2 0.17 0.17 - 20.9
Mega Uranium MGA 1420 0.18 0.14 0.15 - 18.9
Stonegate Agri ST 1074 0.16 0.13 0.13 - 18.7
Lupaka Gold LPK 113 0.15 0.14 0.14 - 17.6
U3O8 Corp UWE 627 0.12 0.1 0.1 - 16.6
Zincore Mtls ZNC 46 0.11 0.1 0.1 - 16.6
New Pac Metals NUX 29 0.34 0.28 0.28 - 16.4
Contintl Gold CNL 6458 3.95 3.21 3.31 - 15.9
Karnalyte Res KRN 504 1.29 1.05 1.09 - 15.5
Stockport Expl SPT 243 0.07 0.05 0.06 - 14.2

TSX greatest value change


Company Symbol Change Close Change
Energy Fuels EFR 129038 8.31 + 1.07
Tahoe Res THO 417147 24.43 + 0.86
Teck Res B TCKB 3190334 25.36 + 0.73
Imperial Metal III 187243 14.32 + 0.57
First Quantum FM 5299123 23.18 + 0.55
HudBay Minls HBM 2965953 10.55 + 0.55
Primero Mng P 1168039 7.43 + 0.53
Dominion Diam DDC 1046326 13.83 + 0.52
Franco-Nevada FNV 558709 52.78 + 0.49
Russell Metals RUS 498147 32.8 + 0.32
Agrium AGU 2652795 98.73 - 0.88
Cameco Corp CCO 2675224 20.75 - 0.69
Potash Cp Sask POT 7073717 39.5 - 0.63
Contintl Gold CNL 6457507 3.31 - 0.63
Pan Am Silver PAA 579529 13.92 - 0.37
Silver Std Res SSO 491938 8.01 - 0.36
Altius Mnrls ALS 212773 13.09 - 0.31
Labdr I-Ore Ro LIF 1623926 28.94 - 0.31
Agnico-Eagle AEM 2579390 34.87 - 0.31
Ivanhoe Mines IVN 8145451 1.4 - 0.23


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Related News
U.S. equities surge, June 16-20
Midway expands Gold Rock resource
Rio Alto to buy Sulliden Gold for $300M
Related Press Releases
Midway Closes US$55 Million Project Finance Facility with Commonwealth Bank of Australia Pan Project, Nevada
Leading independent advisory firms ISS and Glass Lewis support plan of arrangement between Rio Alto and Sulliden
Midway Announces Results of Its 2014 Annual Meeting of Shareholders
 



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