Contrarian Stock Market Investing News - Featuring Bargain Stocks » Greystar Resources

Resource Stock Roundup:Thursday, July 23rd, 2009

Doug Casey — Thu, 23 Jul 2009 17:30:23 +0000

It was a rather uneventful session during Wednesday trading on the Canadian Markets with the fluctuating price of commodities effecting individual sectors. For the tale of the tape; the TSX Exchange gave back 0.64%, while the TSX Gold Index fell 0.79% and the TSX Venture Exchange, Canada’s largest junior exploration bourse, added 0.79% with the advancers beating out the decliners by a 395 to 354 margin on 152 million shares traded.

High-flying Ventana Gold appointed Stephen Orr to the position of president and chief executive officer effective September 1. Mr. Orr was chief executive officer of OceanaGold and prior to that he was vice-president of North American operations, then managing director of Australia and Africa for Barrick Gold (NYSE:ABX). Ventana ended the day up C$0.01 at C$5.20.

Following the Colombian gold theme, Ventana’s neighbor Greystar Resources ended the day up C$0.35 at C$4.30.

Shares of Keegan Resources (AMEX:KGN) added C$0.24 to close at C$3.03 after the company reported drill results that included 10.31 grams gold per metric ton over 22 meters at its Esaase property in southwest Ghana.

Investors in junior resource stocks are eagerly anticipating the next batch of drill results with favorable ones driving the share price higher and disappointing ones causing a run for the exits. In other words, all appears to be right with the world. We shall see what Thursday trading has in store.

Source: Resource Stock Roundup:Thursday, July 23rd, 2009

Resource Stock Roundup:Friday, June 05th, 2009

Doug Casey — Fri, 05 Jun 2009 19:29:33 +0000

In a reversal of fortunes, the commodity heavy Canadian Markets made back a good chunk of Wednesday’s sell-off during Thursday trading. For the tale of the tape, the TSX Exchange rallied 1.82%, while the TSX Gold Index climbed 2.4% and the TSX Venture Exchange, Canada’s largest junior exploration bourse, added 2.27% with the advancers beating out the decliners by a 495 to 359 margin on a robust 220 million shares traded.
Hathor Exploration cut 2.5 metres grading 70 per cent U308 at its Roughrider discovery on its 90 per cent held Midwest Northeast property in Saskatchewan. Of the 23 holes reported, 20 intersected uranium mineralization. Hathor ended the day up C$0.07 at C$2.23.

Colossus Minerals tagged more big numbers from its Serra Pelada project in Brazil. Highlights included 27.9 metres grading 35.49 grams gold per tonne, 19.89 grams platinum and 25.14 grams palladium. Colossus ended the session at C$3.50 for a C$0.12 gain.

Greystar Resources may have put out news of a new discovery on its Angostura deposit in Colombia but it is the neighboring Ventana Gold that has shareholders smiling. Ventana appointed Robert Pirooz to the board of directors. Mr. Pirooz is general counsel for Pan American Silver (NASDAQ:PAAS). Ventana reported a 94.5 metre intercept grading 5.83 grams gold per tonne from its La Bodega property. Lumina Capital holds 16.9 per cent of Ventana. Greystar closed up C$0.06 at C$3.80, while Ventana added C$1.22 to close at C$3.45.

After one day’s rest, the resource mojo is back for investors. We shall see what Friday trading has in store.

Source: Resource Stock Roundup:Friday, June 05th, 2009

mining news|Resource Stock Roundup:Thursday, June 04th, 2009

Doug Casey — Thu, 04 Jun 2009 19:21:39 +0000

A little pin pricked the Canadian Market bubble during Wednesday trading with a stronger United States dollar putting pressure on commodity prices. For the tale of the tape, the TSX Exchange fell 2.82%, while the TSX Gold Index plunged 3.5% and the TSX Venture Exchange, Canada’s largest junior exploration bourse, dropped 2.96% with the decliners beating out the advancers by a 521 to 325 margin on a robust 218 million shares traded.
Shares of Moto Goldmines gave back some ground after rallying hard on news that Red Back Mining was making a friendly move on the company. Under the deal, each Moto share will be exchanged for 0.45 of a Red Back share. The transaction is valued at around $500 million. Speculation is that a rival bidder, most likely Randgold Resources (NASDAQ:GOLD), will step into the play. Moto dropped C$0.35 to close at C$4.75, while Red Back lost C$0.73 at C$8.92.

It was a busy day at South African-based Gold Fields (NYSE:GFI). First off, Africa’s second- largest miner agreed to sell its 19.9 percent stake in Sino Gold Mining to Eldorado Gold in an all stock deal valued at $282 million.

Eldorado will exchange 48 of its shares for every 100 shares of Sino Gold. That will give Gold Fields 27.8 million shares or a 7 per cent stake in Eldorado. Eldorado closed at C$10.41 for a C$0.57 loss.

Next up, Gold Fields inked a deal to earn up to 70 per cent of the Woodjam North gold-copper property in British Columbia from Cariboo Rose Resources, which holds 40 per cent and Fjordland Exploration, which holds 60 per cent. Under the proposal, Gold Fields can take an initial 51 per cent interest by spending C$7 million and making $350,000 in cash payments over a three year period. Gold Fields can earn another 19 per cent by spending an additional C$12 million over a four year term. Cariboo ended the day up C$0.04 at C$0.135, while Fjordland added C$0.03 to close at C$0.11.

East Asia Minerals added C$0.06 to close at C$0.70 after reporting rock chip samples of up to 125.9 grams gold per tonne over 23 metres at the Miwah project in Indonesia.

Greystar Resources tagged significant, near-surface gold mineralization three kilometres south of its wholly owned, multimillion-ounce Angostura gold-silver deposit in northeastern Colombia. Highlights included 36.7 metres grading 1.1 gram gold per tonne. Greystar ended the day up C$0.09 at C$3.74.

Is it the usual one step back for every two steps forward or was Wednesday sell-off the start of a widely anticipated correction to the nearly three month rally? We shall see what Thursday trading has in store.

Source: Resource Stock Roundup:Thursday, June 04th, 2009

Resource Stock Roundup:Thursday, March 26th, 2009

Doug Casey — Thu, 26 Mar 2009 22:12:13 +0000

The big board equities lost ground for a second straight day as higher than expected yields in a United States Treasury auction of five-year notes had investors running for the exits during Wednesday trading on the Canadian markets. For the tale of the tape, the TSX Exchange lost 0.59%, while the TSX Gold Index rallied 3.1% and the TSX Venture Exchange, Canada’s largest junior exploration bourse, surged 2.86% with the advancers swamping the decliners by a 428 to 327 margin on volume of 182 million shares traded.

Western Prospector Group reported the China-based CNNC International Limited is offering up C$0.56 in cash for all the outstanding shares of Western. Of interest to CNNC are Western’s uranium assets in Mongolia. Western closed up C$0.16 at C$0.53.

Meanwhile, Ivernia is being offered C$0.15 per share in cash from London-based Griffin Mining. Ivernia ended the session up C$0.035 at C$0.155.

Greystar Resources came out with a prefeasibility study for its Angostura gold project located in northeastern Colombia. Using a base case gold price of $700 per ounce in the first three years of operation and $650 per ounce thereafter, the study envisions average annual production of 511,000 ounces of gold and 2.3 million ounces of silver over a 15-year mine life generating a net present value of $558 million and an internal rate of return of 19 per cent all at a 6 per cent discount. Greystar ended the day up C$0.34 at C$4.05.

The board room brawls are continuing with NEMI Northern Energy & Mining engaging the services of Vancouver lawyer Leon Getz, QC, to serve as independent chair for its annual and special meeting of shareholders next Monday. Michael Cooney, a concerned shareholder of NEMI with around 10.6 per cent interest, has nominated a new slate of directors for election to the board of directors. NEMI closed up C$.03 at C$0.33.

The unemployment news continues to be very weak and that suggests another re-test of the lows is possible so gains made best be made with quick trades. We will see what Thursday trading has in store.

Source: Resource Stock Roundup:Thursday, March 26th, 2009

Resource Stock Roundup: Friday, March 20th, 2009

Doug Casey — Fri, 20 Mar 2009 21:00:43 +0000

The United States dollar continued to fall and that helped commodity stocks during Thursday trading on the Canadian Markets. For the tale of the tape; the TSX Exchange gained 0.71%, while the TSX Gold Index added 3.8% and the TSX Venture Exchange, Canada’s largest junior exploration bourse, surged 4.37% with the advancers swamping the decliners by a 467 to 289 margin on volume of 152 million shares traded.

Avion Resources and Dynamite Resources are the latest wedding candidates with Avion proposing 0.75 of an Avion share for each Dynamite share. The move would consolidate ownership of the Tabakoto-Segala gold mine in Mali. Dynamite ended the day up C$0.005 at C$0.155, while Avion added C$0.02 at C$0.23.

Terrane Metals got a boost after announcing that it had received the Environmental Assessment Certificate for the province of British Columbia for its Mt. Milligan copper-gold project. Terrane ended the session up C$0.06 at C$0.25.

Meanwhile, Hawthorne Gold tabled an inferred resource of some 33 million metric tons grading 0.99 gram gold per ton for its Taurus deposit in British Columbia, Hawthorne closed out the day at C$0.275 for a C$0.02 gain.

Strathmore Minerals tabled resource estimates for its Nose Rock and Dalton Pass uranium properties in New Mexico. Nose Rock hosts a measured and indicated resource of 884,091 tons running 0.147% U3O8, plus an inferred resource of 167,012 tons averaging 0.135% U3O8. Dalton Pass hosts a measured and indicated resource of 1,622,750 tons running 0.095% U3O8, plus an inferred resource of 908,127 tons averaging 0.084% U3O8. Strathmore ended the session up C$0.035 at C$0.355.

Shares of Greystar Resources added C$0.43 to close at C$4.24 on no new developments. The first stage of its feasibility study on its multi-million ounce Angostura gold resource is expected shortly.

Well it looks like the United States dollar is finally coming under some pressure and that is good for commodity stocks, which are priced in United States dollars. How long will this trend continue? We will see what Friday trading has in store.

Source: Resource Stock Roundup: Friday, March 20th, 2009

Resource Stock Roundup: Wednesday, December 10th, 2008

Doug Casey — Wed, 10 Dec 2008 18:32:39 +0000

A 0.75% cut in interest rates by the Bank of Canada failed to spark a rally on the Canadian markets during Tuesday trading. For the tale of the tape, the TSX Exchange lost 1.98%, while the TSX Gold Index bucked the trend by adding 1.4% and the TSX Venture Exchange, Canada’s largest junior exploration bourse, fell 1.72% with the declining issuers swamping the advancers by a 511 to 314 margin on volume of 154 million shares traded.

It was a rough day for two of the world’s largest undeveloped gold deposits. First off, Gabriel Resources announced that the Romanian Supreme Court annulled the Rosia Montana Archaeological Discharge Certificate. This decision of the court is final, is not appealable and brings to a close a series of court challenges that started in 2004. Gabriel, which closed down C$0.20 at C$1.05, must now seek a new certificate.

Next was Greystar Resources. The company reported a 13.8% increase in measured and indicated resources for its wholly-owned, multi-million ounce Angostura gold-silver project in northeastern Colombia. The measured and indicated categories now hold 11.55 million ounces of contained gold. That said, an early morning trading “situation” drove the stock down to C$0.05. These trades were subsequently wiped out and were reset at C$0.72. By the end of the session Greystar added C$0.03 to close at C$0.89 on more than 2 million shares traded.

Romarco Minerals managed to gain C$0.01 to close at C$0.14 after reporting a 71 metre intercept running 2.8 grams gold per tonne at its Haile gold mine property in South Carolina.

The winning streak ends at two and economic uncertainty suggests that we will go lower before moving higher. That said, several well-known pundits have called a bottom. We will see what Wednesday trading has in store.

Source: Resource Stock Roundup: Wednesday, December 10th, 2008