The big news of the day was Inmet (IMN) Mining’s C$320 million all-cash bid for Petaquilla Copper (PTQLF). The move allows the advancement of the Petaquilla copper property in Panama where Petaquilla Copper says it owns 52 per cent of the project but Teck Cominco  (TCK) says it earned 26% of that in March after delivering a final commitment to participate in the mine. Inmet held a 48% stake. Inmet ended the day up C$0.99 at C$64.51, while Petaquilla added C$0.98 to close at C$1.94 and Teck Cominco fell C$0.94 to C$43.38.

Shares of Noront Resources (NOT) lost C$0.08 to close at C$2.62 after investors digested the initial resource calculations for its Eagle One project in Ontario’s James Bay Lowlands. Indicated resources tally 1.834 million tonnes running 1.96% nickel, 1.18% copper, 3.91 grams palladium, 1.12 grams platinum and 0.15 gram gold per tonne. The inferred resource came in at 1.087 million tonnes grading 2.39% nickel, 1.27% copper, 4.5 grams palladium, 1.37 grams platinum and 0.13 gram gold per tonne.

Is this the beginning of a rather nasty correction in resource stocks or simply a buying opportunity? Either way the current markets are not for the faint of heart. We will see what Tuesday trading has in store.

Source: Resource Stock Roundup Tuesday, July 8, 2008