TSX finishes June 8-14 period higher

The return of investor confidence over global recovery had the TSX Composite Index finishing the June 8-14 period higher.

That confidence was, in part, connected to reforms in Europe aimed at avoiding another Greek-like debt crisis in any of its other member states. The news helped to spark European shares to four week high.

A better global outlook combined with higher oil and gold prices was all the resource heavy TSX Composite Index needed to gain some traction.

The stronger gold price was reflected in Franco-Nevada, Red Back Mining, Newmont Mining and Agnico-Eagle all appearing amongst the biggest gainers for the period by dollar value.

A new financing helped Dynacor Gold find a way up the market as well as the Montreal-based company was up 22% to 33¢ for the period. Dynacor announced it had secured $1 million in debt financing and that it would put the funds towards increasing gold production by 10,000 oz. at its Acari project in Peru.

Strong drill results from two projects in Nunavut had Sabina Gold & Silver climbing the market ranks for the period too. The Vancouver-based company was up 20% over the period after announcing its latest drill results from its Back River and Hackett River projects. At Back River the company announced a best hole of 25.43 grams gold over 20 meters while at the Hackett River it released a best intercept of 24.85 metres grading 175 grams silver, 0.22% copper, 5.41% zinc and 0.91% lead.

The period wasn’t so kind to Crystallex International, however. The company that has endured an ongoing escapade in Venezuela announced that it was relinquishing control of two-thirds of the Las Cristinas gold project in the country. Crystallex has been unable to secure the environmental permit it needed to advance the project and frustrated, it agreed to give one of the worlds biggest company’s, China Railway, a two-thirds interest. It is believed that China Railway has the deep pockets and the government connections necessary to develop the project. Crystallex was given assurances from China Railway that it would help it pay off some of its debilitating debt, although no figure was given. Crystallex shares fell 18% for the period finishing at 46¢.

Forsys Metals was also one of the period’s largest losers by percentage points. The company fell 22% and had to issue a press release stating that it knew of no materially undisclosed developments that would be the cause of the decline. Forsys re-affirmed that it is in discussions with its advisors at Morgan Stanley over its options for developing its Valencia Uranium project. The project was to be taken-over by George Forrest International Afrique before the deal fell apart after the Canadian government was said to be reviewing the matter.