Canada’s mining juniors continue recovery with increased market value

The top 100 mining companies on Canada’s junior market, the TSX Venture Exchange, raised US$12.2 billion in equity during the year up to June 30, up 7% from $14.4 billion a year earlier.

The encouraging figures were released in PwC Canada’s Junior mine 2017 report, which also revealed that cash balances of the top 100 grew by 74% in the period to C$1.57 billion, the largest amount in the last five years.

“The fundamentals are staring to fall in. It’s not definitive, but they’re starting to fall into place,” said National Mining leader at PwC and author of the report Ian Fitzgerald.

“Money’s coming in. It is flowing towards the bigger end of the top 100, but it’s still flowing in at a much more remarkable pace compared to year over year.”

The improved conditions in the junior Canadian mining space comes after years of difficulty onset by the recent commodities price crash, which started with the gold price collapse in 2011.

“What I’m fascinated to see is with this electronic vehicle phenomenon, will some of these Venture Exchange companies move a little bit away from the traditional gold market, and into something like a manganese or a bit more copper, zinc, lithium, cobalt,” added Fitzgerald.