Venture ends year with more gains

Vancouver – The holiday-filled period between December 20 and 31 saw the S&P TSX Venture Exchange maintain its growth streak that defined the second half of 2010, climbing 153.52 points on eight days of straight gains to close the year at 2287.85 points.

 Trading volume was understandably down somewhat, averaging 120 million shares traded daily thanks in part to some half-days of trading. The bears to bulls ratio stayed fairly constant, with 174 Venture-listed companies hitting new highs and 46 hitting new lows.

Rare earth stocks were some of the most active after more news came out of restricted exports from China. Rare Element Resources led the sector, gaining an impressive $6.40 to end the period at $15.95 after hitting a high of $17.24. The company also closed a $57.5 million financing, issuing 6.4 million shares at $9 each.  Other rare earth stocks high in the value-gaining category include Quest Rare Minerals that gained 96¢ to end at $5.53 and Tasman Metals that gained $1.03 to finish at $4.40.

Great Western Minerals meanwhile saw 24 million shares traded as it climbed 16¢ to 58¢ on rare earth news. On Dec. 15 the company announced an offer to buy all 37.8 million remaining shares of Rare Earth Extraction, having already purchased 10 million in September. Both companies are focused on rare earths in South Africa. Stans Energy, another rare earth-based company, saw 14.5 million shares traded on its way to gaining 52¢ and closing at $1.30. The company released the details of a November meeting at the Canadian Embassy in Russia, held to promote a new rare earths supply chain between Russia, Kyrgyzstan and Canada.

Recently reconfigured Alexander Nubia International had a busy period, roughly doubling its share price to 35¢ after climbing 18¢ on 32.2 million shares traded. The company, which completed a qualify transaction and changed its name from Chrysalis Capital VII in early October, announced plans for a 7,500-metre diamond drill program on its Abu Marawat concession in Egypt as well as upgrades to the camp. The company is working to upgrade and confirm the historic gold resource based on roughly 20,000 metres of drilling.

Brazil-focused Amazon Mining was up a healthy $1.74 to $6.32 after announcing that the Minas Gerais state government had approved a special tax treatment for its Cerrado Verde potash project. The benefits reduce capital costs to produce thermopotash as well as the tax on the thermopotash itself, while conventional potash fertilizers will also be affected if produced from the Cerrado Verde project.  The company also closed a $4.5 million private placement, issuing 1.1 million shares at $4.17. The week prior Amazon announced positive results from leaching tests on thermopotash.

Pacific Wildcat Resources was up 53¢ or 143% to 90¢ after issuing an update on its acquisition of the Mrima Hill niobium/rare earth project in Mozambique. The deal was initially announced in July but the company has since extended the closing deadline as it performs due diligence and drilling on the project. The company now expects to close the acquisition of 70% of the 1,180-sq.-km property in late January.