Good morning everyone, and welcome to Thursday, 30 November.
On Stockhead today…
The Canadian stock market has been a strange place in 2023, with more companies taken private than IPOs this year in a C$12.5 billion splurge from cashed up private equity firms. In fact just one IPO — Lithium Royalty Corp (TSX:LIRC) — has made it to the main boards of the TSX. Josh Chiat looks at four recent deals from TSX-listed miners trying to add scale and weight.
But first..
COMMODITY/FOREX/CRYPTO MARKET PRICES
Gold: US$2,042.44 (+0.08%)
Silver: US$24.91 (+0.07%)
Nickel (3mth): US$17,813/t (-0.3%)
Copper (3mth): US$8,147/t (-0.4%)
Oil (WTI): US$76.58 (+0.23%)
Oil (Brent): US$81.73 (+0.05%)
Iron 62pc Fe: US$130.40/t (-0.02%)
AUD/USD: 0.6630 (-0.26%)
Bitcoin: US$38,136 (+2.85%)
WHAT GOT YOU TALKING
Enthusiasm for the mining sector has been waning for much of 2023, with falling commodity prices — outside iron ore, gold and uranium — placing a question mark over growth plans across the sector. But those in the know say investments in new production will continue ahead of massive shortfalls of the lithium needed to meet EV sales targets later in the decade.
Contractors are among the cohort trying to capture and hold some of that value, with one giving an indication of the wall in capital to be spent on Australian mines in the coming years.
Dimerix shares rose after Chinese authorities approved an investigational new drug (IND) application to commence recruitment for its ACTION3 Phase 3 study of DMX-200, for focal segmental glomerulosclerosis (FSGS) kidney disease.
And… vale…
YESTERDAY’S ASX SMALL CAP LEADERS
Here are the best performing ASX small cap stocks:
Swipe or scroll to reveal full table. Click headings to sort:
| Code | Company | Price | % | Volume | Market Cap |
|---|---|---|---|---|---|
| MTC | Metalstech Ltd | 0.22 | 83% | 2,436,757 | $22,632,551 |
| CPM | Coopermetalslimited | 0.22 | 57% | 9,935,336 | $7,450,471 |
| RDN | Raiden Resources Ltd | 0.07 | 49% | 152,109,173 | $112,146,570 |
| AVE | Avecho Biotech Ltd | 0.005 | 43% | 11,638,553 | $9,444,022 |
| ERW | Errawarra Resources | 0.19 | 41% | 6,075,852 | $12,949,290 |
| ADS | Adslot Ltd. | 0.004 | 33% | 1,129,329 | $9,673,487 |
| SBR | Sabre Resources | 0.046 | 28% | 26,458,483 | $12,858,795 |
| MAG | Magmatic Resrce Ltd | 0.074 | 28% | 843,165 | $17,730,182 |
| YRL | Yandal Resources | 0.07 | 27% | 1,211,449 | $8,679,169 |
| FNX | Finexia Financialgrp | 0.285 | 27% | 25,043 | $10,890,608 |
| CRB | Carbine Resources | 0.005 | 25% | 500,000 | $2,206,951 |
| ME1 | Melodiol Glb Health | 0.0025 | 25% | 7,193,695 | $7,668,207 |
| MKL | Mighty Kingdom Ltd | 0.02 | 25% | 50,000 | $6,725,914 |
| AKO | Akora Resources | 0.175 | 21% | 62,611 | $13,772,508 |
| ESR | Estrella Res Ltd | 0.006 | 20% | 5,602,873 | $8,795,359 |
| MEL | Metgasco Ltd | 0.012 | 20% | 468,846 | $10,638,867 |
| EEG | Empire Energy Ltd | 0.16 | 19% | 1,140,984 | $104,371,355 |
| CXU | Cauldron Energy Ltd | 0.013 | 18% | 11,815,283 | $12,453,798 |
| FFG | Fatfish Group | 0.013 | 18% | 863,416 | $13,092,637 |
| EMS | Eastern Metals | 0.033 | 18% | 113,849 | $2,307,935 |
| LRD | Lordresourceslimited | 0.081 | 17% | 90,551 | $2,562,116 |
| ATH | Alterity Therap Ltd | 0.007 | 17% | 733,888 | $14,639,386 |
| LML | Lincoln Minerals | 0.007 | 17% | 4,705,885 | $10,163,072 |
| LRL | Labyrinth Resources | 0.007 | 17% | 14,020 | $7,125,262 |
| TOY | Toys R Us | 0.014 | 17% | 4,180,154 | $11,789,562 |
Yesterday’s Small Caps highlights:
It was Euro Manganese (ASX:EMN) all the way on Wednesday.
Here’s Master of Anything Manganesian, Dr Robert Badman:
This $38m market capped Canadian manganese stock hasn’t had the best time of things since we mentioned it in this column in mid-August … although we’re pretty sure that’s not our fault.
Back then, you see, it was a $52m market capper.
But… its fortunes now look to be making a u-turn in the right direction, with the stock bursting up +45% and making news just about everywhere on the back of a significant project financing deal with $8.2 billion global asset management firm Orion Resource Partners.
It’s a US$100m non-dilutive funding package to advance the development of the Chvaletice manganese project in the Czech Republic – the company’s primary focus.
Rob says EMN is battery materials focused, with manganese a lesser-known (than lithium and nickel anyway) raw material required as ‘a stabilising component in the cathodes of nickel-manganese-cobalt (NMC) lithium-ion batteries used in electric vehicles.’
“The funding is split into two $50 million tranches, including a $50 million loan facility, convertible into a 1.29-1.65% royalty on project revenues, and another $50m in exchange for a 1.93-2.47% royalty on project revenues following a final investment decision by the company’s board,” Rob says.
Slipping into second place was Ballymore Resources (ASX:BMR) which says it’s raised $1.8m via a placement/ entitlement offer – plus another $1.5m from mining royalty firm Taurus – to advance the Dittmer gold mine to production.
And Swoop Telecommunications (ASX:SWP) went gangbusters.
No idea. Sorry.
YESTERDAY’S ASX SMALL CAP LAGGARDS
Swipe or scroll to reveal full table. Click headings to sort:
| Code | Company | Price | % | Volume | Market Cap |
|---|---|---|---|---|---|
| AQX | Alice Queen Ltd | 0.008 | -43% | 2,924,943 | $1,771,208 |
| TWE | Treasury Wine Estate | 0.053 | -34% | 581,072 | $6,110,884 |
| AMD | Arrow Minerals | 0.0015 | -25% | 5,000,000 | $6,047,530 |
| CCE | Carnegie Cln Energy | 0.0015 | -25% | 4,090,239 | $31,285,147 |
| CT1 | Constellation Tech | 0.003 | -25% | 156,666 | $5,884,801 |
| XF1 | Xref Limited | 0.135 | -25% | 498,228 | $33,511,732 |
| EYE | Nova EYE Medical Ltd | 0.145 | -22% | 2,298,638 | $35,266,345 |
| FAU | First Au Ltd | 0.002 | -20% | 2,485,133 | $3,629,983 |
| LBT | LBT Innovations | 0.004 | -20% | 653,249 | $1,779,502 |
| RMX | Red Mount Min Ltd | 0.004 | -20% | 12,469,106 | $13,367,880 |
| BRU | Buru Energy | 0.11 | -19% | 625,204 | $80,465,816 |
| PH2 | Pure Hydrogen Corp | 0.12 | -17% | 2,469,076 | $51,498,510 |
| NGL | Nightingale Intel | 0.044 | -17% | 23,518 | $5,693,993 |
| NYM | Narryermetalslimited | 0.1 | -17% | 120,000 | $5,759,229 |
| AUH | Austchina Holdings | 0.0025 | -17% | 816,356 | $6,233,651 |
| ICN | Icon Energy Limited | 0.005 | -17% | 175 | $4,608,082 |
| LVT | Livetiles Limited | 0.005 | -17% | 29,437 | $7,062,664 |
| RML | Resolution Minerals | 0.005 | -17% | 3,553,515 | $7,543,751 |
| NAG | Nagambie Resources | 0.031 | -16% | 1 | $21,523,874 |
| MCL | Mighty Craft Ltd | 0.0105 | -16% | 3,993,290 | $4,555,531 |
| 3PL | 3P Learning Ltd | 0.96 | -16% | 139,470 | $313,216,457 |
| KPO | Kalina Power Limited | 0.004 | -16% | 222,778 | $7,197,180 |
| AMM | Armada Metals | 0.028 | -15% | 71,500 | $5,694,746 |
| ALM | Alma Metals Ltd | 0.006 | -14% | 4,827,629 | $7,798,006 |
| BFC | Beston Global Ltd | 0.006 | -14% | 1,612,000 | $13,979,328 |
TRADING HALTS
Metrics Master Income Trust (ASX: MXT) – Pending an announcement in relation to a capital raising
Rectifier Technologies (ASX:RFT) – Pending an announcement regard to the appointment of an additional Australian resident director
Respiri (ASX:RSH) – Pending an announcement regarding a capital raising and placement of shares
Great Western Exploration (ASX:GTE) – Pending an announcement in relation to a fund raising
Mitre Mining (ASX:MMC) – Pending an announcement in relation to a material acquisition and capital raising
Dreadnought Resources (ASX:DRE) – Pending a material release regarding a Resource upgrade at the company’s Mangaroon Rare Earths Project