TSX Venture rises, Oct. 11-15

The S&P/TSX Venture Composite Index rose 60.19 points or 6.86% to 939.67 during the Oct. 11-15 trading week. Spot gold closed the week at US$1,767.40 per oz., up US$10.30 per oz. or 0.59%.

Rock Tech Lithium surged $3.85 to $8.65 per share. The company announced it is planning to build Europe’s first lithium converter — a production plant for battery –grade lithium hydroxide — in Guben, Brandenburg. Production could start in 2024. Rock Tech said it plans to locate all of the production steps involved in lithium refining in one overall plant, and said the planned investment for all factory units could be as much as 470 million Euros (US$546 million).  Rock Tech estimates that the plant would produce about 24,000 tonnes of lithium hydroxide a year, enough for about 500,000 electric vehicles, and employ roughly 160 technicians, engineers and production staff. The 12-hectare site in the Guben South industrial park, will be large enough to build the facilities, and locally sourced renewable energy will be used for production. Rock Tech must pay 1.13 million euros (US$1.31 million) for the site. The company also says that by 2030, it plans to obtain around 50% of the raw materials it uses from recycling spent batteries. “Our goal is to be the first company worldwide to create a closed loop for lithium,” Rock Tech’s CEO, Dirk Harbecke, stated in a news release. “Guben seems to us to be the ideal location for this, with subsidies also playing a significant role.” Demand for e-car batteries in Europe is expected to jump 18-fold by 2030 and by as much as 60-fold by 2050, Rock Tech says, citing estimates from the EU Commission.

Shares of New Found Gold rose 86¢ to $8.82. The junior exploration company reported drill results from the Keats zone at its 100%-owned Queensway project, 15 km west of Gander in Newfoundland. Highlights included drill hole 21-242, which returned 2.30 metres grading 10.83 grams gold per tonne starting from 49.80 metres downhole and drill hole 21-312, which intersected 6.50 metres grading 17.59 grams gold per tonne from 150.10 metres, including 2.30 metres of 47.50 grams gold per tonne. Drill hole 21-341 cut 2.40 metres of 22.20 grams gold per tonne from 203 metres, and drill hole 21-360 cut 5.20 metres of 61.50 grams gold per tonne starting at 260.80 metres, including a 2.70 metre interval of 117.15 grams gold per tonne.

Golden Valley Mines and Royalty gained 70¢ to $12.85. The company announced an option agreement with Eldorado Gold enabling Eldorado to earn up to an additional 50% stake in four prospects in Ontario and Quebec: Claw Lake Gold, Cook Lake and Murdock Creek in Ontario and Perestroika in Quebec. These prospects, along with five other prospects, were part of a joint-venture agreement between the two companies in which Golden Valley had a 70% stake and Eldorado 30%. That joint-venture agreement will be terminated once conditions are met under the new agreement. Golden Valley also has the option to be assigned from Eldorado “for nominal consideration” Eldorado’s rights and interest in the other five prospects (Munro, Recession Larder, Matachewan in Ontario and Bogside in Quebec.)