The Oreninc Index fell further for the week ending March 16, 2015. Total dollars fell to to $57.4m, a three-week low. One brokered and bought deal was announced for $14.2m, a two-week low and three-week high respectively.

Deal-making was almost non-existent for the week, with the only major news of note being reports that Glencore Xstrata (LON:GLEN) and OAO Russneft are in negotiations to convert Glencore’s assets in Russneft subsidiaries into a 49% stake in the Russian oil firm’s holding company. No cash will change hands in the deal. Commodity prices took a beating for the week, with iron ore hitting a seven-year low. Gold also fell dramatically to a YTD-low, at least partially on news of a better than expected US jobs report.

While the Index’s low level, mixed with the especially bad commodity prices and lack of deal-making, looks and is troubling, the fact that there were three deals above $14m for the week, is a positive. Still, the sluggishness is disappointing for an industry that can’t seem to catch a break.

Summary:

• Number of financings dropped to 13, a seven-week low.
• One brokered financing was announced for $14.2m, a two-week low.
• One bought deal financing was announced for $14.2m, a three-week high.
• Total dollars fell to $57.4m, a three-week low.
• Average offer size increased to $4.4m, a four-week high.

Major Financing Openings:

• Africa Energy Corp. (TSX-V:HRN) opened a $19.12 million offering on a best efforts basis.    
• Scorpio Gold Corporation (TSX-V:SGN) opened a $18.9 million offering on a strategic deal basis. Each unit includes a 1/2 warrant that expires in 60 months.
• Seabridge Gold Inc. (TSX:SEA) opened a $14.24 million offering underwritten by a syndicate led by Canaccord Genuity on a bought deal basis.    
• African Gold Group Inc. (TSX-V:AGG) opened a $1.29 million offering on a best efforts basis.  Each unit includes a 1/2 warrant that expires in 24 months.

Major Financing Closings:

• Kaminak Gold Corp. (TSX-V:KAM) closed a $21 million offering underwritten by a syndicate led by Cormark Securities on a bought deal basis.    
• Kennady Diamonds Inc. (TSX-V:KDI) closed a $19.43 million offering on a best efforts basis.    
• Goldrock Mines Corp. (TSX-V:GRM) closed a $6.29 million offering on a best efforts basis.  
• Clifton Star Resources Inc. (TSX-V:CFO) closed a $5.73 million offering on a strategic deal basis.

Oreninc also publishes the Oreninc Deal Log, a daily list of all financing activity in the TSX, TSX-V and CSE resource sectors. Visit http://oreninc.com to see which companies and sectors to watch. Oreninc also writes custom reports for companies on effective capital raising strategies to help companies maintain long-term shareholder value.