ORENINC INDEX – Monday, June 7th 2021

North America’s leading junior mining finance data provider

Last Week: 101.92

This week: 63.64

The Oreninc Index decreased in the trading week ending June 4th, 2021 to 63.64 from 101.92 a week ago as new financings seem to cool off.

On to the money: the aggregate financings announced decreased to $102 million, a 4-week low, with 4 new brokered financings and 1 new bought-deal financing announced. The average offer size decreased to $2.8 million, a 5-week low, and the number of financings remained unchanged at 37.

Gold closed the week lower at $1,892/oz from $1,906/oz a week ago. The US dollar index closed higher at 90.14 from 90.00 a week ago.

The widely followed junior mining index, the VanEck managed GDXJ, closed the week lower at $53.68 from $54.71 a week ago. HUI Arca Gold BUGS Index, which follows the major gold miners, closed the week lower at 313.18 from 318.83 last week. The SPDR GLD ETF inventory closed the week lower at 1,043.16 tonnes, or 33.53 million ounces, from 1,043.21 tonnes last week.

In other commodities, Silver closed the week lower at $27.89/oz from $28.14/oz a week ago. Copper closed down at $4.52/lb from $4.67/lb a week ago. Oil went higher as WTI closed higher at $69.72 a barrel from $66.32 a barrel a week ago.

The Dow Jones Industrial Average closed higher at 34,756 from 34,529 a week ago. Canada’s S&P/TSX Composite Index closed up at 20,029 from 19,774 the previous week. The S&P/TSX Venture Composite Index closed higher at 978.01 from 966.39 a week ago.

Summary:

• Number of financings remain as 37.
• Four brokered financings were announced this week for $47m, a 5-week low.
• One bought-deal financing were announced this week for $25m, a 5-week low.
• Total dollars decreased to $102m, a 4-week low.
• Average offer lowered to $2.8m, a 5-week low.

Major Financing Openings:

• Alexco Resource Corp. (TSX:AXR) opened a $25 million offering underwritten by a syndicate led by xxx on a bought deal basis.    The deal is expected to close on or about June 10, 2021.
• New Stratus Energy Inc. (TSX-V:NSE) opened a $10 million offering underwritten by a syndicate led by Canaccord Genuity Corp. on a best efforts basis.  Each unit includes a 1/2 warrant that expires in 24 months. The deal is expected to close on or about June 30, 2021.
• Blue Star Gold Corp. (TSX-V:BAU) opened a $8.4 million offering on a best efforts basis.
• Silver Mountain Mines Inc. (TSX-V:SMM) opened a $8 million offering underwritten by a syndicate led by Red Cloud Securities Inc. on a best efforts basis.

Major Financing Closings:

• Vizsla Resources Corp. (TSX-V:VZLA) closed a $69 million offering underwritten by a syndicate led by Canaccord Genuity Corp. on a bought deal basis.  Each unit includes a 1/2 warrant that expires in 18 months. The deal is expected to close on or about March 6, 2021.
• Western Copper and Gold Corporation (TSX-V:WRN) closed a $25.62 million offering on a strategic deal basis.
• International Consolidated Uranium Inc. (TSX-V:CUR) closed a $9 million offering underwritten by a syndicate led by Haywood Securities Inc. on a bought deal basis.  Each unit includes a 1/2 warrant that expires in 24 months. The deal is expected to close on or about June 3, 2021.
• Anaconda Mining Inc. (TSX:ANX) closed a $8.5 million offering on a best efforts basis. The deal is expected to close on or about May 20, 2021.