The S&P/TSX Venture Composite Index (INDEXTSI:JX) lost 15.98 points last week to close at 580.09. Meanwhile, the S&P/TSX Composite Index (INDEXTSI:OSPTX) closed at a new all-time high mid-week, but ended the period flat.
Statistics Canada released its June consumer price index (CPI) figures this past Tuesday (July 16). The data shows that inflation continued to cool, with 2.7 percent growth on an annualized basis, down from 2.9 percent in May.
The agency attributes the deceleration largely to gasoline prices, which saw a year-on-year gain of 0.4 percent in June versus 5.8 percent the previous month. The cost of food purchased from stores increased by 2.1 percent year-on-year.
On a monthly basis, CPI fell 0.1 percent, down from a month-on-month gain of 0.6 percent in May. Statistics Canada reported that the biggest factors were an 11.1 percent decrease in travel tours and a 3.1 percent fall in gas prices.
Statistics Canada also published its monthly mineral production data this past Friday (July 19). The numbers indicate a broad increase in metals production in May. Gold output rose by 2,339 ounces over April to reach a total of 18,418 ounces, while silver production increased by 2,024 ounces to reach 23,446 ounces.
Copper mining jumped by 2,551.23 metric tons over April to come in at 44,261.57 metric tons.
These figures came alongside Statistics Canada’s industrial product price index, which tracks the prices of products made in Canada. The data shows that non-ferrous metals prices declined 0.4 percent month-on-month in June. Leading the way were prices for unwrought nickel and nickel alloys, which dropped 10.3 percent, the largest decline since March 2023.
Multiple US indexes hit new all-time highs this past week, including the S&P 500 (INDEXSP:.INX), which peaked at 5,667.2 at Tuesday’s close, although it ultimately lost 2.36 percent on the week to finish at 5,505.
The Dow Jones Industrial Average (INDEXDJX:.DJI) also reached a new all-time high last week when it closed at 41,196 on Wednesday (July 17). It finished the week at 40,287.53, a slight weekly gain of 0.37 percent. After hitting a new high the prior week, the Nasdaq-100 (INDEXNASDAQ:NDX) lost 4.29 percent last week to close at 19,517.76.
As for commodities prices, gold hit a new all-time high on Wednesday before pulling back to US$2,401 on Friday. Silver saw steep declines in the second half of the week, losing 5.16 percent to fall to US$29.23 per ounce on Friday. The S&P GSCI (INDEXSP:SPGSCI) lost 1.45 percent over the week, trading at US$563.81 on Friday.
How did junior resource stocks listed on the TSX Venture Exchange perform this past week? The five mining and energy companies below were the best performers by share price gains.
1. Pulsar Helium (TSXV:PLSR)
Weekly gain: 51.85 percent; market cap: C$20.04 million; share price: C$0.82
Pulsar Helium is a development company working to advance its Topaz helium project located 100 kilometers north of Duluth, Minnesota. The site consists of 1,040 acres of private mineral rights; Pulsar holds an exclusive lease with the option to lease an additional 2,092 acres from the same mineral rights holder.
Pulsar began exploration at the site in early 2024, with drilling of an appraisal well commencing on February 5 to a depth of 671 meters. Lab tests from the appraisal well indicated helium concentrations of 13.8 percent, with small amounts of atmospheric air contamination decreasing the measured helium values.
The company commenced downhole well works at Jetstream 1 on May 16, with a focus on collecting further data in preparation for a final phase consisting of flow testing and pressure buildup. Results from testing were released on June 6, with the company reporting maximum flow rates of 821,000 cubic feet per day and concentrations of 8.7 to 14.5 percent helium. It also said carbon dioxide concentrations of 70 percent were present.
Pulsar’s most recent update came on July 9, when the company announced the results from a seismic survey at Topaz. In the announcement, the company said a helium-bearing zone at the appraisal well was identifiable, and that further gas-bearing zones are likely at depth.
2. Solis Minerals (TSXV:SLMN)
Weekly gain: 26.92 percent; market cap: C$14.49 million; share price: C$0.165
Solis Minerals is a copper and lithium explorer advancing properties in South America. Its main focus in 2024 has been its Cinto copper project in Peru. The site is composed of seven tenements covering 3,200 hectares in the country’s copper belt. The asset has seen limited exploration, primarily consisting of grab samples and satellite imaging.
Shares of Solis surged this past week following an exploration update on July 9. It reported the completion of an initial geochemical program, which identified copper mineralization over a 200 meter by 100 meter area at Cinto, including high-grade surface grab samples grading up to 7.14 percent copper.
In addition to that, the company signed an access agreement with the Carumbraya community to fast track the next phase of its exploration program. Solis said it has already deployed drones to collect magnetometer readings, and will be using geological mapping to guide drill permitting at the site.
Solis’ momentum continued last week from the prior week, when it topped this list.
3. Hannan Metals (TSXV:HAN)
Weekly gain: 25.53 percent; market cap: C$64.75 million; share price: C$0.59
Explorer Hannan Metals is focused on advancing gold, silver and copper deposits in Latin America.
The San Martin project is a joint venture with the Japan Organization for Metals and Energy Security (JOGMEC), a Japanese government agency established in 2004 to secure stable resources and fuel supplies. Under the terms of the agreement, JOGMEC can earn up to a 75 percent stake in the project if all its funding goals are met.
The Peru-based site hosts a copper and silver system with 120 kilometers of combined strike. Exploration has shown grades at the Tabalosos target of 4.9 percent copper and 62 grams per metric ton (g/t) silver over 2 meters.
Hannan also wholly owns the Valiente project, which hosts a previously unknown porphyry and epithermal mineralized belt within a 140 kilometer by 50 kilometer area containing copper, gold, molybdenum and silver.
Its most recent project update came on July 2, when Hannan announced that it had doubled the footprint of the Previsto Central prospect at Valiente. The company said mineralization had been discovered over a 10 kilometer by 5 kilometer area within a previously unmapped zone with only 20 percent of the target area covered. It will continue to execute fieldwork during the dry season with a focus on mapping and soil sampling.
4. Usha Resources (TSXV:USHA)
Weekly gain: 25 percent; market cap: C$10.5 million; share price: C$0.125
Usha Resources is a mineral acquisition and exploration company with interests in North American lithium, copper and gold projects. The company has an earn-in agreement for the White Willow lithium-tantalum project in Thunder Bay, Ontario.
On May 17, Usha entered into a letter of intent with Stardust Power (NASDAQ:SDST) giving Stardust the right to earn up to a 90 percent interest in Usha’s Jackpot Lake lithium brine project in Nevada, US. The deal is subject to a 2 percent net smelter royalty, along with US$26.03 million in payments over the next five years.
Usha’s latest news came on July 17, when it executed an option agreement with Abitibi Metals (CSE:AMQ,OTCQB:AMQFF) for the right to purchase a 100 percent stake in the Southern Arm project. The agreement will require Usha to complete C$2 million in work in the next two years and issue 5 million shares to Abitibi Metals, along with a 2 percent net smelter royalty. Usha executed the deal following receipt of an initial US$75,000 payment from Stardust.
The property is located near Joutel, Québec, and is composed of 76 claims covering 42 square kilometers; it is home to a 7.3 kilometer copper and gold trend that hosts numerous mineralization targets. The most prolific target is Hollywood, where anomalies have been identified over 1.8 kilometers of strike.
5. Lode Gold Resources (TSXV:LOD)
Weekly gain: 25 percent; market cap: C$10.98 million; share price: C$0.025
Lode Gold Resources is an exploration company with projects located in Canada and the US, including its Fremont gold project in California, US, which hosts a past-producing high-grade gold mine.
The company announced this past Monday (July 15) that it has filed a NI 43-101 technical report for its Golden Culvert and Win properties along the Tombstone gold trend in Yukon. It was a necessary step in its plan to spin out the properties, as well as the McIntyre Brook property in New Brunswick, into a new entity named Gold Orogen.
The spinout is part of a broader restructuring plan; Lode expects to complete the spinout by the end of 2024.
Golden Culvert and Win are early stage projects consisting of a combined 509 claims over 99.47 square kilometers. Fieldwork at the site has produced highlighted results of 8.53 g/t gold and 155 g/t silver. Exploration at McIntyre Brook has seen trench samples grading 41.6 g/t gold.
FAQs for TSXV stocks
What is the difference between the TSX and TSXV?
The TSX, or Toronto Stock Exchange, is used by senior companies with larger market caps, while the TSXV, or TSX Venture Exchange, is used by smaller-cap companies. Companies listed on the TSXV can graduate to the senior exchange.
How many companies are listed on the TSXV?
As of September 2023, there were 1,713 companies listed on the TSXV, 953 of which were mining companies. Comparatively, the TSX was home to 1,789 companies, with 190 of those being mining companies.
Together the TSX and TSXV host around 40 percent of the world’s public mining companies.
How much does it cost to list on the TSXV?
There are a variety of different fees that companies must pay to list on the TSXV, and according to the exchange, they can vary based on the transaction’s nature and complexity. The listing fee alone will most likely cost between C$10,000 to C$70,000. Accounting and auditing fees could rack up between C$25,000 and C$100,000, while legal fees are expected to be over C$75,000 and an underwriters’ commission may hit up to 12 percent.
The exchange lists a handful of other fees and expenses companies can expect, including but not limited to security commission and transfer agency fees, investor relations costs and director and officer liability insurance.
These are all just for the initial listing, of course. There are ongoing expenses once companies are trading, such as sustaining fees and additional listing fees, plus the costs associated with filing regular reports.
How do you trade on the TSXV?
Investors can trade on the TSXV the way they would trade stocks on any exchange. This means they can use a stock broker or an individual investment account to buy and sell shares of TSXV-listed companies during the exchange’s trading hours.
Data for this 5 Top Weekly TSXV Performers article was retrieved at 11:00 am PST on July 19, 2024, using TradingView’s stock screener. Only companies with market capitalizations greater than C$10 million prior to the week’s gains are included. Companies within the non-energy minerals and energy minerals were considered.
Article by Dean Belder; FAQs by Lauren Kelly.
Securities Disclosure: I, Dean Belder, hold no direct investment interest in any company mentioned in this article.
Securities Disclosure: I, Lauren Kelly, hold no direct investment interest in any company mentioned in this article.