Junior explorer soars on takeover offer

Stockhouse Canadian Small and Micro-cap Stock Report for Tuesday, January 27, 2008

TORONTO (SHfn) - A sweetened takeover bid made more than a few shareholders happy Tuesday, while a gold feasibility study finally got some attention.

Central Sun Mining (TSX: T.CSM, Stock Forum) shares climbed 40% to 63 cents on Tuesday after micro cap miner announced the receipt of a binding offer from B2Gold Corp. (TSX: T.BTO, Stock Forum) for the acquisition of all of the issued and outstanding shares of the Central Sun by way of a plan of arrangement, pursuant to which Central Sun shareholders would be entitled to receive 1.28 common shares of B2Gold for each Central Sun common share held. The consideration under the B2Gold transaction represents a 45.1% premium over the closing price of 45 cents for the Central Sun common shares on the Toronto Stock Exchange on January 26, 2009.

As well, shares of Vista Gold (TSX: T.VGZ, Stock Forum) added added as much as 9% before closing up 3% at $2.50 as the junior explorer reported an updated gold resource estimate for the Batman deposit at the Mt. Todd Gold Project in Northern Territory, Australia, which included a 57% increase (1.65 million ounces) in the measured and indicated gold resource estimates, as well as an increase in inferred resources by 318,000 ounces.

Tranzeo Wireless Technologies (TSX: T.TZT, Stock Forum) shares soared 89% to 49 cents after the manufacturer of wireless broadband and WiMAX communication systems, and partner PT. Teknologi Riset Global (TRG), a subsidiary of leading telecommunication infrastructure provider the Indonesian Tower Group, announced that they are moving forward with the first phase of a joint development agreement to produce WiMAX subscriber units for the Indonesian market.

Energy Fuels (TSX: T.EFR, Stock Forum), meanwhile, said that at the request of the Ontario Securities Commission it has amended and re-filed the five NI 43-101 Technical Reports filed by Energy Fuels in 2008, addressing the classification of resources at the Whirlwind, Energy Queen, Willhunt, Torbyn, and Farmer Girl properties. The principal impact of the changes to these Technical Reports is a reduction of about 1.2 million lbs. of inferred U3O8 resource and about 5.4 million lbs. of inferred V2O5. Energy Fuels stock slid 17% to 27.5 cents.

Shares of Banro Corporation (TSX: T.BAA, Stock Forum) powered 47% higher to $2.42 after the miner on Monday announced results of the feasibility study of its wholly-owned Twangiza project in the Democratic Republic of the Congo. Highlights included an average annual production of 319,962 ounces of gold per annum for the first three years of operation at average total operating cash costs of US$274 per ounce.

And, retailer brand soft drink provider Cott Corporation (TSX: T.BCB, Stock Forum) Tuesday reported the phase-out of its exclusive supply agreement with Wal-Mart in the United States. Its shares sank 29% to $1.12.