ORENINC INDEX – Monday, August 30th 2021

North America’s leading junior mining finance data provider

Last Week: 78.76

This week: 57.42

The Oreninc Index decreased in the trading week ending August 27th, 2021 to 57.42 from 78.76 a week ago as the aggregate financings fell to $100 million.

On to the money: the aggregate financings announced decreased to $100 million, a 2-week low, with 2 new brokered financings and 1 new bought-deal financings announced. The average offer size decreased to $5.2 million, a 2-week low, and the number of financings decreased to 19.

Gold closed the week up at $1,819/oz from $1,784/oz a week ago. The US dollar index closed down at 92.69 from 93.50 a week ag

The widely followed junior mining index, the VanEck managed GDXJ, closed the week higher at $43.08 from $39.69 a week ago. HUI Arca Gold BUGS Index, which follows the major gold miners, closed the week lower at 254.54 from 254.96 last week. The SPDR GLD ETF inventory closed the week higher at 1,011.61 tonnes, or 32.52 million ounces, from 1,021.79 tonnes last week.

In other commodities, Silver closed the week higher at $24.14/oz from $23.11/oz a week ago. Copper closed higher at $4.33/lb from $4.13/lb a week ago. Oil went higher as WTI closed higher at $68.74 a barrel from $62.32 a barrel a week ago.

The Dow Jones Industrial Average closed lower at 35,118 from 35,118 a week ago. Canada’s S&P/TSX Composite Index closed lower at 20,339 from 20,339 the previous week. The S&P/TSX Venture Composite Index closed lower at 864.51 from 864.51 a week ago.

Summary:

• Number of financings decreased to 19.
• Two brokered financing were announced this week for $79.5m, a 2-week low.
• One bought-deal financing as announced this week for $70m, a 2-week low.
• Total dollars lessened to $100m, a 2-week low.
• Average offer lowered to $5.3m, a 2-week low.

Major Financing Openings:

• Aya Gold & Silver Inc. (TSX:AYA) opened a $70 million offering underwritten by a syndicate led by Desjardins Capital Markets on a bought deal basis. The deal is expected to close on or about September 13, 2021.
• First Cobalt Corp. (TSX-V:FCC) opened a $9.5 million offering underwritten by a syndicate led by BMO Capital Markets on a best efforts basis. The deal is expected to close on or about September 1, 2021.
• Trigon Metals Inc. (TSX-V:TM) opened a $5 million offering on a best efforts basis.  Each unit includes 1 warrant that expires in 24 months. The deal is expected to close on or about September 10, 2021.
• Lucky Minerals Inc. (TSX-V:LJ) opened a $3.5 million offering on a best efforts basis.  Each unit includes 1 warrant that expires in 24 months.

Major Financing Closings:

• New Found Gold Corp. (TSX-V:NFG) closed a $57.5 million offering underwritten by a syndicate led by Canaccord Genuity Corp. on a bought deal basis. The deal is expected to close on or about August 24, 2021.
• Nova Royalty Corp. (TSX-V:NOVR) closed a $13.66 million offering underwritten by a syndicate led by PI Financial Corp. on a best efforts basis. The deal is expected to close on or about August 25, 2021.
• Gold Basin Resources Corp. (CSE:GXX) closed a $5.4 million offering on a best efforts basis.  Each unit includes a 1/2 warrant that expires in 12 months.
• New Age Metals Inc. (TSX-V:NAM) closed a $5.05 million offering on a best efforts basis.