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Oreninc Index Falls and Continues Lull 

The Oreninc Index fell and continued its lull for the week ending October 9, 2015. Total dollars announced fell to $45.7m, a two-week low. No brokered financings were announced for the second time in three weeks; no bought deal financings were announced for the third straight week. 

The largest deal of the week was Teck Resources' (NYSE:TCK) streaming deal with Franco-Nevada (NYSE:FNV) in which Franco-Nevada will pay Teck US$610m for its silver stream from the Antamina copper mine in Peru. The gold price was way up for the week on the back of weak US economic news. Iron ore was also up for the week. 

While we are seeing a broad slowdown in private placement opening amounts, the real issue, in terms of performance, is lack of broker involvement. Until brokerage houses feel comfortable getting back into the market in a big way, it is hard to see a path to improvement in this financing market. 



Oreninc Index Jumps to Two-Week High

The Oreninc Index jumped to a two-week high for the week ending October 1, 2015. Total dollars announced increased to $50.8m, a two-week high. One brokered deal was announced for $10m, a two-week high; no bought deal financings were announced for the second straight week. 

Deal making picked up for the week, with OceanaGold (TSX:OGC) agreeing to purchase Romarco Minerals Inc (TSX:R) for CAD$856m worth of stock the biggest news of the week. Industrial commodities continued their pounding with copper and zinc both hitting six and five-year lows respectively at points during the week. 

It appears the slump that hit the natural resource financing market during the summer has continued into the fall. On the brightside, significant deals happening in the industry is a positive, and shows that companies are actively trying to create shareholder value in the space as a whole.



Oreninc Index Falls to Three-Week Low

The Oreninc Index fell to a three-week low for the week ending September 24, 2015. Total dollars announced dropped to $26m, a three-week low. No brokered or bought deal financings were announced, 10 and three-week lows respectively.

Deal making was up a bit for the week, with the largest deal of note being Suncor Energy’s (TSX:SU) purchase of an additional 10% stake in the Fort Hills oil sands project from partner Total E&P Canada for $310m. Gold increased sharply for the week, up 5% since the US Federal Reserve's announcement last week that they would hold rates steady. Multiple industrial metals, including copper and zinc, had traumatic weeks, with zinc falling to a five-year low.

After last week’s stellar performance, it is disappointing to see the Index as low as it fell this week. The coming weeks will likely be telling in what we can expect over the coming months.



Oreninc Index Leaps to 13-Week High

The Oreninc Index jumped to a 13-week high for the week ending September 17, 2015. Total dollars announced exploded to $161.1m, an 18-week high. Two brokered and bought deal financings were announced for $85m, 18- and 23-week highs respectively.

The top dealmaking news of the week came from Glencore plc (LON:GLEN), who is said to be in talks with multiple companies to sell portions of the future production of three of its Chilean and Peruvian copper mines via streaming transactions. Gold was up on the week following news that the US Federal Reserve would not be raising interest rates quite yet. Iron ore was down slightly after the previous week’s 10-week high.

As expected, the first full week after the Labor Day holiday marks an increase to levels not seen since June. While expected, the jump in performance should be seen as a promising sign that maybe the financing market can crawl out of the depths reached over summer, even if it may not be at the levels the industry would like.



Oreninc Index Jumps to Three-Week High

The Oreninc Index jumped to a three-week high for the holiday-shortened week ending September 10, 2015. Total dollars announced rose $25.1m, a three-week high. One brokered financing was announced for $10.9m, another three-week high; and one bought deal financing was announced for $10.9m, yet another three-week high.

The biggest deal-making news of the week came from Anglo American plc (LON:AAL) and the sale of three of their platinum mines in South Africa to gold producer Sibanye Gold Ltd. (NYSE:SBGL) for $330m. Iron ore had another strong week, reaching a 10-week high. Positive US economic news led to another down week for gold, continuing its weeks long slide.

While this jump in performance is encouraging, it will be interesting to see if this trend continues as we head into what has traditionally been a more active period of the financing year.


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