The S&P/TSX Venture Composite Index closed relatively unchanged at 715.36 points. Spot gold nearly broke two-year highs, rising 1.9%, or US$24.41, to a US$1,298.65 per oz. close, as the U.S. Federal Reserve held rates on concerns over the impending Brexit vote and U.S. economic growth. Comex copper gained 1% to US$2.05 per lb., after a rise in oil prices and a weaker U.S. dollar.
Reservoir Minerals topped the value-added category, gaining $1.02 to hit $9.63 per share after receiving shareholder approval to combine with Nevsun Resources and consolidate its Timok copper-gold project in Serbia. Nevsun sweetened its US$365 million cash-and-share bid for the company with an extra $2 per share, or $75 million in cash, just before the vote to ward off a campaign led by dissident shareholders who claimed the deal was undervalued. When the deal closes, all of Reservoir’s issued and outstanding common shares will be exchanged for two Nevsun common shares, representing a 35% premium to Reservoir’s 20-day, volume-weighted average price as of April 22.
Avino Silver & Gold Mines gained 45¢ to $3.11 per share in the wake of restarting production on June 6 at the second mine on its Avino silver-gold-copper property near Durango, Mexico. The company has since reported that a dedicated power line to the Avino mine site was turned on and final permits received for the operation’s new tailings facility. With the expansion, the company can advance the tailings resource towards a production decision for a heap leach operation. The tailings contain 2.3 million inferred tonnes of 91.3 grams per tonne silver and 0.54 gram per tonne gold for 6.66 million oz. silver and 40,000 oz. gold.
Nubian Resources posted the greatest percentage change, gaining 9¢, or 1,900%, to a 10¢-per-share close on no reportable news. The company’s main asset includes the Excelsior Springs gold project in Esmeralda County, Nevada. The 3.5 sq. km property contains the historic Buster mine, which the company says produced 15,000 tonnes of 37 grams gold to a 70-metre depth. Nubian sold an option to Global Geoscience in 2011 to earn a 70% interest in the property, but relinquished the deal in December 2015 once the Australian-listed company failed to meet its work obligations. During its tenure, Global completed 4,000 metres of drilling, partly in tandem with an American subsidiary of Montreal-based Osisko Mining (now Osisko Gold Royalties). The drill programs intercepted wide zones of low-grade gold within altered and quartz-veined country rock.
Brixton Metals announced it has no change to report to account for its shares rising 37¢ to 95¢ per share over the trading period. The company intends to close its over-subscribed, $2.3 million private placement on June 21.