Canadian small/micro-cap weekend roundup

On Monday, Prodigy Gold (TSX: V.PDG, Stock Forum) shares jumped 42% to 98 cents on volume of more than 43.7 million shares after Argonaut Gold (TSX: T.AR, Stock Forum) said it has agreed to acquire all of the issued and outstanding common shares of Prodigy in a friendly deal. Under the terms of the agreement, Prodigy shareholders will receive 0.1042 of an Argonaut Gold share and C$0.00001 in cash per Prodigy share, representing $1.08 per share based on Argonaut Gold's 20-day volume-weighted average price, which implies an enterprise value of approximately $277 million. 

As well, shares of Passport Potash (TSX: V.PPI, Stock Forum) added 11% at 20 cents as the potash project developer reported that it has signed a letter of intent with the Hopi Indian Tribe, which authorizes the engineering firm ERCOSPLAN to combine the Hopi and Passport land sections in the upcoming Preliminary Economic Assessment commissioned by Passport, and lays the groundwork for potential joint exploration and development of the potash resources in the Holbrook Basin.

In Tuesday trading, Dynasty Metals & Mining (TSX: T.DMM, Stock Forum) shares climbed 27% to $2.45 after the gold junior announced that it has obtained small-scale mining licenses for five concessions at its Zaruma Gold Project in Ecuador. Under the current mining law of Ecuador such licenses permit the company to mine up to 300 tonnes per day from each concession at a reduced royalty of 3%, payable to the Ecuador government, and no windfall tax on the extraction and sale of precious metals.

Also, shares of Shona Energy (TSX: V.SHO, Stock Forum) shot up 28% to 46 cents on volume of more than 2.2 million shares as Canacol Energy (TSX: T.CNE, Stock Forum) said it will acquire all of the issued and outstanding shares of Shona in a friendly deal.  Under the terms of the agreement, each Shona common share will be exchanged for $0.0896 in cash and 1.0573 Canacol shares, which represents a value of approximately 56 cents per Shona common share.

Wednesday’s market action saw shares of Caspian Energy (TSX: T.CEK, Stock Forum) surge 20% to 12 cents on volume of more than 4.3 million shares as the oil and gas explorer provided the results of a technical report regarding its operations in the Republic of Kazakhstan. The study concluded that the reason for the disappointing flow rates achieved to date is that all the wells drilled so far have been completed on the false premise that the rock is a normal, conventional, permeable formation, in which oil flows to the wells between the rock grains. Thus, to achieve the full potential of these wells, each well must be perforated at the depths that will give access to the relevant fractures or karsts.

In addition, shares of Fancamp Exploration (TSX: V.FNC, Stock Forum) moved up 23% to 16 cents on more than 1.1 million shares traded after Fancamp director and former Chairman Robert Granger said recently that he no longer has confidence in the ability of Fancamp's management to manage the company in a manner consistent with the best interests of the company and its shareholders, and will nominate an alternative slate of directors for election at Fancamp's annual general meeting to be held on October 26, 2012.  

On Thursday, Strateco Resources (TSX: T.RSC, Stock Forum) shares powered 32% higher to 29 cents on volume of more than 1.3 million shares after the micro cap explorer reported that the Canadian Nuclear Safety Commission has granted it the license for the underground exploration program at the Matoush uranium project in Quebec. Strateco said it initiated the process of obtaining the license in July 2008.

As well, shares of Times Three Wireless (TSX: V.TTW, Stock Forum) skyrocketed 575% to 13.5 cents as the provider of technology for wireless tracking of the location of physical assets said it will build upon its existing wireless networking and technology licensing businesses by developing a high-margin patent licensing program utilizing its fundamental wireless location patents, new patents it will apply for based on its numerous other inventions, and anticipated future patent acquisitions. 

And, in Friday trading, Calvista Gold (TSX: T.CVZ, Stock Forum) shares jumped 57% to $1.07 on volume of more than 4.1 million shares after the micro cap explorer announced that it has agreed to be acquired by AUX Acquisition 3 S.A.R.L. and 2346408 Ontario Inc. for $1.10 per common share in cash.

Finally, shares of Galway Resources (TSX: V.GWY, Stock Forum) rose 35% to $2.15 on more than 10.8 million shares traded as the Colombia gold junior said it has agreed to be acquired by AUX Acquisition and its wholly-owned Ontario subsidiary. Under the terms of the agreement, Galway shareholders will receive $2.05 in cash, 0.9 of a share in a new company to hold the Vetas gold project and 1.0 share in a new company to hold the Victorio tungsten-molybdenum project.