FREE ARTICLE PREVIEW: You are enjoying a free sample of exclusive
subscriber content. There is a limit of three free articles per week.

TABLE OF CONTENTS Aug 5 - 11, 2013 Volume 99 Number 25 - 0 comments

Toronto Stock Exchange, July 22-26

TEXT SIZE bigger text smaller text
2013-07-31

The S&P/TSX Composite Index was down 65 points to 12,647.90 for the period, as it was weighed down by earnings misses and weaker base metal prices.

On the positive side, the S&P/TSX Global Gold Index tracked the price of the underlying metal and was up 4 points to 188.15, while the gold price was up US$25 to US$1,321.50 per oz.

Diversified miners, however, saw their equity track in the opposite direction of the underlying metals, as the S&P/TSX Capped Diversified Metals & Mining Index was up 23 points to 746.94 points, despite the price for copper being down 4¢ to US$3.11 per lb. on weak manufacturing numbers out of China. 

Goldcorp was the latest senior gold producer to announce a big writedown. The company reported a second-quarter loss of US$1.9 billion, compared to a US$268-million profit last year, largely due to softer metal prices. Goldcorp took a non-cash impairment charge of US$1.96 billion, mainly at its Penasquito gold mine in Mexico. It also wrote down its Cerro Blanco project in Guatemala by US$131 million and put it on care and maintenance. But investors were apparently expecting worse news, as the company’s shares climbed up $1.14 to $29.48 per share.

Another member of the senior circuit, Newmont Mining, reported a US$2-billion loss and saw its stock rise. The company’s shares were up $1.45 to $31.20, despite turning a US$279-million profit for the same period last year into a sizeable loss. Investors appeared to be in a forgiving mood, since most of the loss was attributed to a non-cash writedown of assets, stockpiles and ore on leach pads. The writedown tallied US$1.8 billion, with most of it being attributed to its Boddington and Tanami operations in Australia. Newmont maintained its full-year guidance of 4.8 million to 5.1 million oz. gold and 150 million to 170 million lb. copper.

Geovic Mining shareholders were the period’s big winners, as they saw their investment grow by 280%. Geovic went from 3¢ to  10¢ apiece. The spike came after China-based Jiangxi Rare Metals Tungsten Holdings Group (JXTC) signed on to a 60.5% stake in the company, with plans to develop the Nkamouna cobalt-nickel-manganese project in Cameroon. The National Investment Corp. of Cameroon owns the remaining 39.5% interest. Geovic says production can start soon as project financing is arranged, with JXTC also signing an off-take agreement for future production.

And International Tower Hill Mines saw its share price tumble by 27% to finish the period at just 47¢. It has been a long slide for the company since releasing a preliminary economic assessment of its Livengood project in Alaska. The latest drop came after the company released a bankable feasibility study showing a negative US$1.3-billion net present value — using a US$1,300 per oz. gold price — and a negative 7.2% internal rate of return.

TSX most active issues


    Volume  
Company Symbol (000s) High Low Close Change
B2Gold BTO 28974 3.15 2.86 3.13 + 0.37
Kinross Gold K 26142 5.86 5.4 5.62 + 0.29
Denison Mines DML 20665 1.45 1.26 1.37 + 0.09
San Gold Res SGR 20370 0.19 0.14 0.14   0
Barrick Gold ABX 19337 18.68 17.4 18.28 + 1.12
Yamana Gold YRI 17713 11.79 10.84 11.15 + 0.27
Mercator Mnls ML 17265 0.13 0.1 0.11 - 0.02
Goldcorp G 16445 30.7 28.3 29.48 + 1.14
Osisko Mng OSK 14954 4.44 4.13 4.39 + 0.32
Potash Cp Sask POT 13909 40 37.06 38.14 - 1.72

TSX greatest percentage change


    Volume  
Company Symbol (000s) High Low Close Change
Geovic Mng GMC 1936 0.22 0.03 0.1 + 280
Stockport Expl SPT 31 0.05 0.03 0.05 + 66.6
Crosshair Engy CXX 693 0.05 0.03 0.04 + 60
VG Gold VG 645 0.95 0.6 0.88 + 51.7
Lexam VG Gold LEX 653 0.12 0.08 0.12 + 50
Serabi Gold SBI 1138 0.1 0.06 0.1 + 46.1
Coro Mining COP 80 0.11 0.06 0.11 + 37.5
Banro Res BAA 4675 1.22 0.81 1.07 + 37.1
Loncor Res LN 432 0.19 0.14 0.19 + 35.7
Mawson Res MAW 103 0.65 0.5 0.62 + 31.9
Liberty Mines LBE 228 0.02 0.01 0.02 - 40
Pure Nickel NIC 572 0.04 0.02 0.02 - 33.3
CaNickel Mng CML 81 0.2 0.15 0.16 - 29.5
Intl Tower Hil ITH 3423 0.95 0.38 0.47 - 26.5
Cardero Res CDU 3889 0.1 0.07 0.07 - 23.5
Lydian Intl LYD 4733 1.53 0.85 1.01 - 21.7
Mirabela Nickl MNB 5022 0.09 0.07 0.08 - 21
Mediterrn Res MNR 1548 0.04 0.02 0.02 - 20
Walter Energy WLT 79 15.07 11 11.39 - 19.5
NGEx Res NGQ 437 2.15 1.7 1.72 - 17.7

TSX greatest value change


Company Symbol Change Close Change
Franco-Nevada FNV 3119169 45 + 4
Royal Gold RGL 32177 51.13 + 3.77
Teck Res B TCKB 11953409 25.11 + 1.63
Silver Wheaton SLW 7778955 23.76 + 1.53
Detour Gold DGC 6326940 11.49 + 1.49
Newmont Mng NMC 14540 31.2 + 1.45
Central Gold-T GTU_U 11180 49.18 + 1.41
Teck Res A TCKA 14812 27.15 + 1.35
Alamos Gold AGI 3803922 15.42 + 1.23
Seabridge Gold SEA 119895 11.1 + 1.16
Horizns G Bear HGD 2519748 19.39 - 2.79
Walter Energy WLT 79102 11.39 - 2.77
Agrium AGU 2223237 90.76 - 2.12
Potash Cp Sask POT 13909244 38.14 - 1.72
Russell Metals RUS 496511 25.18 - 0.53
Labdr I-Ore Ro LIF 611880 31.3 - 0.51
NGEx Res NGQ 437361 1.72 - 0.37
Lydian Intl LYD 4732637 1.01 - 0.28
North Am En Pa NOA 26605 4.98 - 0.27
Intl Tower Hil ITH 3423243 0.47 - 0.17


© 1915 - 2014 The Northern Miner. All Rights Reserved.

Related News
Chilean court suspends El Morro project, again
US markets struggle, Oct. 6-10
Eastmain's Eau Claire deposit grows in Éléonore's shadow
Related Press Releases
Goldcorp declares tenth monthly dividend payment for 2014
Eleonore achieves first gold production
Éléonore achieves first gold production
 



Horizontal ruler
Horizontal Ruler

Post A Comment

Disclaimer
Note: By submitting your comments you acknowledge that Northern Miner has the right to reproduce, broadcast and publicize those comments or any part thereof in any manner whatsoever. Please note that due to the volume of e-mails we receive, not all comments will be published and those that are published will not be edited. However, all will be carefully read, considered and appreciated.

Your Name (this will appear with your post) *

Email Address (will not be published) *

Comments *



* mandatory fields