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Resource Stock Roundup:Monday, May 18th, 2009

Doug Casey — Mon, 18 May 2009 20:00:00 +0000

The schizophrenic nature of investors once again ruled the day during Friday trading on the Canadian Markets. For the tale of the tape, the TSX Exchange fell 0.92%, while the TSX Gold Index dropped 1.7% and the TSX Venture Exchange, Canada’s largest junior exploration bourse, tacked on 0.21%, with the decliners edging out the advancers by a 408 to 363 margin on 165 million shares traded.
Trevali Resources added C$0.11 to close at C$1.16 after the company announced that it signed a memorandum of understanding with Glencore International AG of Switzerland to help develop and obtain the metal concentrate from the Santander silver-lead-zinc mine project in Peru.

Endeavour Silver (AMEX:EXK) tabled a first quarter loss of US$1.9 million but cash costs fell to $7.56 per ounce of silver. Silver production came in at 572,785 ounces and gold production hit 2,335 ounces. Endeavour closed at C$1.99 for a C$0.01 loss.

Luna Gold inked a deal to sell 17 percent of its gold production from the Aurizona project in Brazil to Sandstorm Resources for US$17.8 million and continuing payments of US$400 per ounce of gold delivered. Sandstorm ended the day flat at C$0.50, while Luna closed unchanged at C$0.38.

The day to day trading gyrations are great for the day traders but are making the longer term holders a wee bit nervous. Given the volatility, it is probably a good thing that the Canadian Markets will be closed Monday for Victoria Day. We shall see what Tuesday trading has in store.

Source: Resource Stock Roundup:Monday, May 18th, 2009

Resource Stock Roundup:Friday, January 16th, 2009

Doug Casey — Fri, 16 Jan 2009 20:30:48 +0000

The selling continued early in the trading session with investors worried about the survivability of the financials but a massive mid-day reversal propelled equities higher during Thursday trading on the Canadian Markets. For the tale of the tape, the TSX Exchange added 2.20%, while the TSX Gold Index popped 5.1% and the TSX Venture Exchange, Canada’s largest junior exploration bourse, gave back 0.62% with the declining issuers edging out the advancers by a 363 to 270 margin on a paltry 106 million shares traded.

Iamgold (NYSE:IAG) came out with a preliminary assessment study for its Westwood project in Quebec. The miner envisions producing 187,000 ounces of gold per year for 15 years with cash costs ringing in at $298 per ounce. Capital costs are projected at $329 million. Iamgold ended the day up C$0.85 at C$7.60.

In Mexico, Fortuna Silver Mines reports that commercial concentrate grades from its San Jose project came in at 135 grams gold and 17,130 grams silver per tonne with recoveries of 88 per cent. Fortuna ended the session up C$0.03 at C$0.93.

Luna Gold’s Piaba gold project in Brazil now holds a measured and indicated resource of 19.6 million tonnes grading 1.34 grams gold per tonne. That’s a 21 per cent jump over the earlier estimate. Luna closed the session at C$0.14 for a C$0.03 gain.

The optimist in me says the late day buying marks the start of another bear market rally, but the pragmatist in me says that there is little reason for equities to move higher. We will see what Friday trading has in store.

Source: Resource Stock Roundup:Friday, January 16th, 2009