In the final months of the year, zinc prices came down from historic highs seen in Q3. With prices still faring much better than previous years, some wonder if zinc will continue to climb or at least hold steady.
For the year, zinc prices have increased over 20 percent, which is nothing to sniff at. Most recently, the metal has been bolstered by news that major miner Glencore (LSE:GLEN) is planning a lower-than-expected increase in zinc output this year.
As investors become ever more interested in finding the best junior zinc stocks, we’ve put together a brief overview of five zinc-focused companies on the TSXV that have seen share price gains year-to-date. Read on to learn what they’ve been up to in 2017.
5. Hannan Metals (TSXV:HAN)
Current price: $0.27; year-to-date gain: 22.73 percent
Exploration company Hannan Metals holds the County Clare zinc-lead-silver-copper project in Ireland, and is focused on the Kilbricken discovery at the property. The company kicked off the year by closing of the acquisition of County Clare, closing a private placement and changing its name.
In May, Hannan began drilling at Kilbricken, and by June it had completed its first step-out drill hole at the site. It provided a maiden resource estimate for Kilbricken in July, and continued to drill into the fall. Towards the end of the year, Hannan reported continued success outside the resource area at Kilbricken, with highlights including 8.4 meters at 8 percent zinc equivalent.
4. Telson Resources (TSXV:TSN)
Current price: $0.70; year-to-date gain: 122.22 percent
Telson Resources is currently advancing two gold-silver-base metals projects in Mexico. In recent years, its focus has been the Tahuehueto project, and it plans to begin production there in 2018. The company’s other project is the Campo Morado mine, which it acquired from Nyrstar (EBR:NYR) earlier this year.
In September, Telson announced a US$5-million loan facility and offtake agreement with Trafigura Mexico. The company said at the time that the funds would allow it to recommence operations at Campo Morado, and by October it had restarted operations for production at the mine. Also in October, Telson signed a “term sheet for a loan facility and offtake agreement with Trafigura for up to US$15 million to finalize mine construction at Tahuehueto.”
3. Osisko Metals (TSXV:OM)
Current price: $0.79; year-to-date gain: 166.67 percent
Osisko Metals is a zinc-focused base metals exploration and development company with projects in New Brunswick and Quebec. Osisko began the year with the purchase of the Brunswick Belt property, and in the ensuing months acquired a number of other properties.
The company changed its name midway through the year. It made some additional acquisitions around the same time, and commenting in June that it was in control of more than 40,000 hectares in New Brunswick’s Bathurst Mining District. In the second half of the year, Osisko has focused on drilling, and in December provided initial results from its Mount Fronsac North project.
Subscribe to the RSD email list and get the latest resource stock activity directly to your inbox, for free.
Part of the Stock Digest family of websites