If you look at the companies on the TSX Venture Exchange, there are no buyers in the market. But if you want to know what I’m doing right now, I’m a buyer.
Sylvain Laberge, consultant, to Sunset Cove Mining Inc.
Focus: Investor relations, business development for publicly traded companies.
Can you give us your perspective on what is happening in the market right now?
“It is not an easy market. The only way is to expose ourselves to investment advisors to make sure that we create awareness. The TSX Venture Exchange has been getting hammered since last June. A lot of good companies have been hurting in that kind of market.”
How do you think this will play out over the next few months?
“As much as I can tell you, I think we are at the bottom, but it doesn’t mean I’m right. There is a lot of things that happened in the past year that we didn’t think would happen. If I look at the market a year ago, I have been with companies that were trading at over 40 cents a year ago. Now they are trading at 8 cents. Many of those companies have a better story today. But the market doesn’t recognize anything. If you look at the companies on the TSX Venture Exchange, there are no buyers in the market. But if you want to know what I’m doing right now, I’m a buyer.”
What is it going to take to change things around?
“Strength in the economy, a better situation in Europe. Will it happen? I don’t know. Resources is the place to be, but try to convince 95% of the population. It’s not easy.
Can you give us names of some of the companies that you have been buying lately?
Threegold Resources Inc. (TSX: V.THG, Stock Forum) is focused on exploration mainly in Quebec. Its portfolio includes the South Bay project about 40 kilometres east of Val d’Or. Trading at 8 cents this week, Threegold has a market cap of $8.7 million, based on 108.7 million shares outstanding.
Abitibi Royalties Inc. (TSX: V.RZZ, Stock Forum). The Val d’Or, Que. company owns exploration royalties in the McFaulds Lake property in northwestern Ontario and Malartic CHL Property in Quebec. Trading at 71 cents this week, Abitibi has a market cap of $6.18 million, based on 8.7 million shares outstanding. The 52-week range is $3.15 and 70 cents.
Osisko Mining Corp. (TSX: T.OSK, Stock Forum) is a Montreal-based company, which is focused on Canada and aims to be a mid-tier gold producer. Its flagship asset is the Canadian Malartic gold mine in Abitibi, Que. Trading at $10.05, Osisko has a market cap of $3.89 billion, based on 387.1 million shares outstanding. The 52-week range is $15.86 and $9.18.
Sunset Cove Mining Inc. (TSX: V.SSM, Stock Forum), is a junior mineral exploration and development company that is focused on the exploration of silver and copper properties in Latin American. Sunset Cove sees itself as partnering with Peru and has built an aggressive Peruvian subsidiary Minera.