ORENINC INDEX – Monday, December 19th, 2022

North America’s leading junior mining finance data provider

Last Week: 85.68

This week: 76.75

The Oreninc Index decreased in the trading week ending December 16th, 2022 to 76.75 from 85.68 a week ago as smaller deals were announced.

On to the money: the aggregate financings announced decreased to $109 million, a 3-week low, with 5 new brokered financings and no new bought-deal financings announced. The average offer size decreased to $1.7 million, a 3-week low, and the number of financings increased to 63.

Gold closed the week lower at $1,800/oz from $1,810/oz a week ago. The US dollar index closed lower at 104.70 from 104.81 a week ago.

The widely followed junior mining index, the VanEck-managed GDXJ, closed the week lower at $35.23 from $35.70 a week ago. HUI Arca Gold BUGS Index, which follows the major gold miners, closed the week lower at 221.96 from 227.68 last week. The SPDR GLD ETF inventory closed the week higher at 912.41 tonnes, or 29.32 million ounces, from 910.41 tonnes last week.

In other commodities, Silver closed the week lower at $23.32/oz from $23.71/oz a week ago. Copper closed lower at $3.76/lb from $3.87/lb a week ago. Oil went higher as WTI closed higher at $74.45 a barrel from $71.50 a barrel a week ago.

The Dow Jones Industrial Average closed lower at 32,920 from 33,475 a week ago. Canada’s S&P/TSX Composite Index closed lower at 19,443 from 19,947 the previous week. The S&P/TSX Venture Composite Index closed lower at 576.26 from 577.62 a week ago.

Summary:

• The number of financings increased to 63.
• Five brokered financings were announced this week for $10m, a 7-week low.
• No bought-deal financing was announced this week.
• Total dollars lowered to $109m, a 3-week low.
• The average offer lessened to $1.7m, a 3-week low.

Major Financing Openings:

• Strategic Resources Inc. (TSX-V:STI) opened a $5 million offering on a best-efforts basis. The deal is expected to close on or about March 31, 2023.
• Guanajuato Silver Company Ltd. (TSX-V:GSVR) opened a $5 million offering 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 December 20, 2022.
• Erdene Resource Development Corp. (TSX:ERD) opened a $6 million offering on a best efforts Each unit includes a 1/2 warrant that expires in 24 months. The deal is expected to close on or about December 23, 2022.
• Goldshore Resources Inc. (TSX-V:GSHR) opened a $5 million offering underwritten by a syndicate led by Research Capital Corp. on a best efforts Each unit includes 1 warrant that expires in 24 months. The deal is expected to close on or about December 22, 2022.

Major Financing Closings:

• New Found Gold Corp. (TSX-V:NFG) closed a $50 million offering underwritten by a syndicate led by BMO Capital Markets on a bought deal The deal is expected to close on or about December 14, 2022.
• Purepoint Uranium Group Inc. (TSX-V:PTU) closed a $41 million offering on a best-efforts basis. Each unit includes a 1/2 warrant that expires in 24 months.
• Prismo Metals Inc. (CSE:PRIZ) closed a $02 million offering underwritten by a syndicate led by PI Financial Corp. on a best-efforts basis. Each unit includes a 1/2 warrant that expires in 36 months. The deal is expected to close on or about December 12, 2022.
• Marvel Discovery Corp. (TSX-V:MARV) closed a $1.96 million offering on a best-efforts basis.