TSX Venture slips, June 12-16

The S&P/TSX Venture Composite Index lost 1.9%, or 15.29 points, to a 775.91-point close, as spot gold prices fell US$13.03 to US$1,253.73 per oz., and Comex copper prices fell US7¢ to US$2.58 per pound.

Gold Reserve led the value-added category, with shares gaining 48¢ to $3.46, after receiving an initial US$44-million payment from the government of Venezuela as part of a US$1-billion settlement for terminating its Las Brisas gold-copper project in southeastern Venezuela in 2009. The agreement accounts for losses Gold Reserve incurred after the government rescinded permits and licences for the project, as part of a nationalization drive in April 2008. The rest of the settlement will be paid incrementally over the next two years.

Bearing Lithium’s intention to merge with Li3 Energy has been approved by 60% of Li3 Energy’s shareholders, driving shares of Bearing Lithium up 24¢ to 98¢. Li3 carries a 17.7% interest in the Maricunga lithium project in Chile, with the other 32.3% and 50% interests owned by joint-venture partners Minera Salar Blanco and Lithium Power International. Under the joint-venture agreement, Lithium Power is responsible for exploration and development costs until finishing a feasibility study. Recent pumping results at Maricunga returned a continuous rate of 45 litres per second per week, with only a minor decline in the water level. Assay results from brine pumped an average 1,140 milligrams lithium per litre, and only minor variations in grade were observed during the test.

Prospect generator Mirasol Resources has discovered a high-grade, gold-silver vein breccia system over a 4 by 2.1 km area at its Nico project in Argentina. The news drove shares of the company up 21¢ to $1.81. Assay results from the first 486 rock-chip samples at the project’s Aurora prospect range up to 887 grams gold per tonne and 1,017 grams silver per tonne, with over 12% of the samples returning over 1 gram gold, and 9.9% of samples returning over 60 grams gold. Detailed ground magnetic surveys at the prospect show a 2.5 sq. km negative magnetic anomaly that corresponds with an area of hydrothermal alteration mapped at surface. The company says the depletion zone and alteration could represent the main area of hydrothermal fluid upflow in the region.   

Gold Standard Ventures rose 17¢ to $2.65 per share, after finalizing the acquisition of Battle Mountain Gold in a cash-and-share deal valued at $36 million. The acquisition gives Gold Standard exposure to Battle Mountain’s Lewis gold project, which is located within Nevada’s 25 million oz. gold Battle Mountain trend, and next to Newmont Mining’s Phoenix gold mine.