Junior explorer surges on gold results

Stockhouse Canadian Small and Micro-cap Stock Report for Wednesday, April 18, 2012

TORONTO (SHfn) – GTA Resources and Mining (TSX: V.GTA, Stock Forum) shares jumped 16% to $1.10 on volume of more than two million shares Wednesday after the micro cap explorer reported results from the first two holes of the Phase 2 drilling program on the Northshore Property in northwestern Ontario, which included 7.82 grams per tonne (g/t) gold over a core length of 12.0 metres. The company added that recent drilling has extended gold mineralization in the Afric Zone over 200 metres along strike and to a vertical depth of 190 metres.

As well, shares of Yukon-Nevada Gold (TSX: T.YNG, Stock Forum) gained 21% to 34 cents as the gold miner announced that it has initiated a process to explore and evaluate potential strategic alternatives to maximize shareholder value. This may include a sale of the company, business combination, joint venture, merger, acquisition, or strategic investment.

Westbridge Energy (TSX: V.WEB, Stock Forum), meanwhile, said it has entered into a binding letter of intent to acquire 100% of the issued and outstanding shares of Kayuco Universal Ltd., in consideration for 10 million common shares of Westbridge at a price of 20 cents a share in addition to a cash payment of US$3 million. Kayuco is a private company whose principal asset is an 80% interest in an oil and gas petroleum exploration licence to explore within block number 1811B off-shore Namibia. Westbridge Energy stock popped 60% to 40 cents.

And, Canadian Overseas Petroleum (TSX: V.XOP, Stock Forum) Wednesday reported that the National Oil Company of Liberia has written to advise of its acceptance, in-principle, of the previously announced proposed joint venture arrangement in the Production Sharing Contract governing Block LB-13 offshore Liberia. Canadian Overseas Petroleum shares moved up 28% to 34 cents on more than 4.8 million shares traded.

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