Stockhouse Canadian Small and Micro-cap Stock Report for Monday, October 21, 2013 VANCOUVER (SHfn) –
Carpathian Gold Inc. (
TSX: T.CPN,
Stock Forum) was up 41.7% to 8.5cents. The exploration and development company announced the continued support by Macquarie Bank Ltd. for the RDM gold project in Brazil. The corporations subsidiary, Mineração Riacho dos Machados Ltda. (MRDM), which owns and operates the project, has entered into an agreement with Macquarie to provide additional debt financing for the project while
strategic alternatives for the corporation and MRDM are being. While this additional debt funding will be at Macquarie's discretion, the corporation is pleased to receive this support in order to continue the advancement of the project.
High Desert Gold Corp. (
TSX: V.HDG,
Stock Forum) 27.3% to seven cents after the mineral explorer said that it has entered into an arrangement agreement pursuant to which
South American Silver Corp. (
TSX: T.SAC,
Stock Forum) will acquire all of the issued and outstanding shares of High Desert that it does not already own in an all-share transaction by way of a plan of arrangement. Each High Desert share will be exchanged for 0.275 of a South American Silver Class A Share. South American Silver currently owns 16.08 million common shares of High Desert (18.5% on an undiluted basis). Upon completion of the arrangement, South American Silver shareholders and High Desert shareholders will own approximately 85.6% and 14.4%, respectively, of Class A Shares of the post arrangement entity (the combined company).
Stornoway Diamond Corp. (
TSX: T.SWY,
Stock Forum) rose 12.4% to 91 cents after the diamond miner announced the results of a recent feasibility study on the viability of a Liquefied Natural Gas (LNG) fuelled power plant for the Renard diamond project, located in the James Bay region of north-central Québec. The highlight of the study was annual operating cost reductions of between $8.0 million and $10 million over the initial 11 year mine life, representing a life of mine operating cost saving of $89 million, or 6.6%. The LNG study has been completed in time to have it incorporated into the final project execution plan prior to the planned commencement of project construction in 2014.
Rockgate Capital Corp. (
TSX: T.RGT,
Stock Forum) rose 8.1% to 20 cents after the mineral exploration company announced today that on Oct. 18, 2013 its board of directors issued a
Supplement to the Directors' Circular in respect of the offer by
Denison Mines Corp. (
TSX: T.DML,
Stock Forum) to acquire all of the issued and outstanding shares of Rockgate for 0.192 of a common share of Denison. After consultation with its financial and legal advisors, the board is now unanimously recommending that Rockgate shareholders accept the Denison offer and deposit their common shares of Rockgate to the Denison offer. Rockgate shareholders should read carefully the reasons for this recommendation contained in the Supplement, together with the other information contained in the Supplement and the Director's Circular, before deciding whether or not they will deposit their common shares to the Denison offer. The Denison offer will be open for acceptance until 4:00 p.m. (Toronto time) on Oct. 25, 2013, unless extended or withdrawn.
Energizer Resources Inc. (
TSX: T.EGZ,
Stock Forum) climbed 11.1% to 15 cents as investors assessed the news that the exploration and development company has entered into a non-binding letter of intent with Caterpillar Financial Services' Mining Finance Division regarding financing arrangements for its flagship Molo graphite project in Madagascar. Cat Financial has presented Energizer, in principal, two possible debt finance structures to consider individually or possibly in combination with each other. The first is to co-arrange with other financial institutions or banks a project finance loan and the second is to arrange an equipment loan for the purchase of Cat equipment in connection with the project. Cat Financial has also expressed an interest to act as Energizer's financial adviser and funding partner, where the two companies would develop an optimal financing structure together, pending further due diligence on the project.
| Select Canadian Small/Micro-cap Advancers (as of 4:00 PM Eastern) |
| Zenn Motor Company Inc. (V.ZNN, Stock Forum) |
45.24% |
| Carpathian Gold Inc. (T.CPN, Stock Forum) |
41.67% |
| Aureus Mining Inc. (T.AUE, Stock Forum) |
34.69% |
| Barkerville Gold Mines Ltd. (V.BGM, Stock Forum) |
30.77% |
| Niko Resources Ltd. (T.NKO, Stock Forum) |
15.43% |
| Select Canadian Small/Micro-cap Decliners (as of 4:00 PM Eastern) |
| easyhome Ltd. (T.EH, Stock Forum) |
-7.29% |
| Horizons BetaPro NYMEX Natural Gas Bull Plus ETF (T.HNU, Stock Forum) |
-5.12% |
| Atlantic Power Corporation (T.ATP, Stock Forum) |
-4.97% |
| Horizons BetaPro S&P\/TSX Global Gold Bear Plus ETF (T.HGD, Stock Forum) |
-4.85% |
| Manitok Energy Inc. (V.MEI, Stock Forum) |
-4.19% |