Venture largely flat in Feb 13-17 period

Vancouver – The S&P TSX Venture Composite Index was largely flat for a second week, exchanging an 11 point loss the week before for a 4.6 point gain in the February 13 to 17 period to end at 1,658.15 points. Volume continued to drop from the January exuberance, averaging 106.2 million shares traded a day for a 5 million drop from the week before and a 29 million share drop from the week before that.

Clear stand-out for the week was GTA Resources & Mining, which went on a wild ride following some certainly encouraging but not breath-taking results from the Northshore property in. GTA, which is earning in 70% of the property from Balmoral Resources, hit 149.5 metres grading 1.2 grams gold, 159 metres averaging 1.05 grams gold and 150 metres grading 0.99 gram gold, all capped. The stand-out intercept of 149.5-metres carried 3.21 grams gold uncapped, and the majority of holes drilled ended in mineralization. On news of the results, GTA’s share price shot up $1.30 or 520% on the day to $1.54 before ending the period up $1.01 at $1.22 with 22 million shares traded. Balmoral had a slightly more modest week, ending up a penny at $1.04.  

Encanto Potash continued a February surge, up 10¢ in the period to end at 45¢ for a 19¢ climb so far in the month. Trading volume is also up quite a bit at 17 million shares traded in the period and 10 million shares traded the week before. The big news this month is that Muskowekwan Resources is adding 173.2 sq. km to the joint venture agreement and in exchange Encanto is issuing 400,000 shares and 400,000 26¢-warrants, and $100,000. The package includes both treaty land entitlement lands and pre-reserve lands and will significantly expand the current 62.7-sq.-km joint venture land package.

Pershimco Resources has also seen a strong February, climbing 40¢ so far in the month, including 22¢ in the last period, to end at $1.30. In mid-day trading the company even hit a 52-week trading high of $1.37. Pershimco recently raised $27 million in a bought deal private placement, $7 million more than originally planned, as it advances its Cerro Quema project in Panama. To that end the company also recently brought on Pierre Lafleur as a director, who brings experience on resource modelling, economic analysis and project management.

Lumina Copper continued its long upwards push, hitting a new 52-week high of $16.19 in mid-day trading before ending the period up $1.22 at $15.92. The latest uptick came after the company reported especially long intercepts from its Taca Taca project including 813 metres averaging 0.6% copper equivalent and 496 metres carrying 0.87% copper equivalent. The company traded at under $6 in early October.

Sparsely-traded Nubian Resources got a big boost after announcing that Osisko Mining had entered a binding letter of agreement on Global Geoscience’s five Nevada projects, one of which Geoscience is earning into from Nubian. The Osisko-Geoscience deal has Osisko spending a cumulative US$8 million over 4 years to earn 45% of the projects, while the Geoscience-Nubian deal has Geoscience spending US$3 million over four years to earn 70% of the Excelsior Springs project. Nubian’s share price more than doubled on the news, climbing 17¢ to 32¢.