Hundreds of small mineral exploration companies may have their stock delisted by Canada's TSX Venture Exchange in the coming month

Gavin Wendt

Hundreds of small mineral exploration companies may have their stock delisted by Canada's TSX Venture Exchange in the coming month. As commodity prices boomed in the past decade, a flood of new issuers swelled the ranks of the Venture, but the money has dried up over the past 2 years. Hardest hit are the Venture-listed, exploration-stage companies that depend on equity financing to develop their properties to the point where they can build a mine or sell the asset to a major. While the mining sector has always been subject to boom and bust, the potential shakeout could be especially damaging this time.


About this contributor

Gavin Wendt

Gavin Wendt

Founding Director, MineLife

I have been a senior resources analyst following the fortunes of the mining and energy sectors for the past 25 years - previously working with stockbroker Intersuisse and financial group Fat Prophets. I am also Executive Director, Mining & Metals...

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James Marlay

Highly likely we see a similar result on the ASX in the coming months. Plenty of quarterlies showing low cash balances and in many cases not even a full quarter of working capital. Expect plenty of consolidation talk at diggers this week

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