Contact Eli Fabens at 360-262-6969 or eli.fabens@oreninc.com

Oreninc publishes the Canadian Resource Financing Index, a weekly numerical index that provides a sense of market depth. It helps companies decide when to finance and brokerage houses determine what type of deals to conduct. The Oreninc Team designed the index to use in their public financing reports for companies on when to finance and which broker to finance with.

Oreninc Index Update: July 26, 2012

Oreninc Index takes sharp fall to YTD lowest level

The Oreninc Index fell off a steep cliff this week,reaching the YTD lowest level as well as the lowest point since Oreninc began releasing the index in January 2011.If you’re looking for money, brokers certainly aren’t clamoring to get it for you, and if you’re looking to invest, you don’t have many options either. With just one brokered deal and no bought deals this week, life is rough for cash flow-constrained junior miners and explorers.

• Total number ofopened dealsdropped to 18.
• One brokered dealwasannounced, down from last week; average brokered deal size fell to $1.3 million.
• No bought deals were announced for the fourth time in five weeks.
• Total dollars fell to $17.4 million; average deal size fell to $0.97 million.

This week’s major private placement openings included:

• Compass Gold Corp. (TSX-V:CVB) opened a $2.5 million private placement on a best efforts basis.Each unit includes 1 warrant that expires in 24 months.The deal is expected to close on or about July 31, 2012.
• FairWest Energy Corp. (TSX-V:FEC) opened a $2 million private placementon a best efforts basis.
• Knick Exploration Inc. (TSX-V:KNX) opened a $1.3 million private placement underwritten by MGI Securities on a best efforts basis.The deal is expected to close on or about September 10, 2012.
• Thor Explorations Ltd.(TSX-V:THX) opened a $1.26 million private placementon a best efforts basis.

Major private placement closings:

• Coronado Resources Ltd. (TSX-V:CRD) closed a $6 million private placementon a best efforts basis.
• Northern Gold Mining Inc. (TSX-V:NGM) closed a $5 million private placementon a best efforts basis.
• Copper Fox Metals Inc. (TSX-V:CUU) closed a $4.48 million private placementon a best efforts basis.Each unit includes 1 warrant that expires in 12 months.
• Waldron Energy Corporation (TSX:WDN) closed a $3.25 million private placementon a best efforts basis.

Author: Eli Fabens

Original Link: http://oreninc.com/orenthink/20120727-oreninc-index-update

Oreninc also publishes the Oreninc Deal Log, a daily list of all financing activity in the TSX 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.

Disclaimer: The views presented in Oreninc’s blog reflect the opinions of the Oreninc Team only. We use the publicly available data we collect for the ODL to discuss greater market and financing issues. See Terms.