This week in Canadian markets has proven promising leading up to the end of the year, as indices fell on Monday before steadying throughout the rest of the week.
The S&P/TSX Composite Index fell to just under 20,400 points Monday morning, the lowest it’s been since October. The index has steadily recovered throughout this week, currently sitting over 700 points above what it was at the start of the day on Monday to 21,247.87 as of 10:36 am EST.
The Loonie also fell on Monday, but now sits at US$0.78/C$1.00 leading into the final week of 2021.
On Thursday, Statistics Canada released its report on gross domestic product by industry for October, citing 0.8 per cent growth across all sectors.
Following a 0.2 per cent increase in September, October marked the fifth consecutive month of growth for real GDP.
The cross-sector growth indicated that the Canadian economy continues to show resilience in the face of challenges brought on by the pandemic, especially leading up to the holidays.
Both manufacturing and construction sectors marked growth in October after declines in previous month. Manufacturing, in particular, more than offset the 1.5 per cent contraction in September with 1.8 per cent growth.
Real estate was up 0.8 per cent, the largest increase since December 2020 and with no end in sight for the skyrocketing real estate market in the near future.
Mining, quarrying, and oil and gas were also collectively up 1.5 per cent, the sixth consecutive month of growth for that sector.
Mining and energy companies also found their way into this week’s Top 5 yet again, with i3 Energy, Power Metals, and Generation Mining joined by cannabis company Xebra and technology company Nextech AR.
Here’s a look at those stories:
i3 Energy PLC (TSX:ITE) announces 2022 Canadian Capital Programme & dividend
i3 Energy’s capital programme, announced on Monday, included a capital budget of US$47 million that is forecasted to deliver 15 wells across the company’s portfolio and $184 million of combined 2022/2023 net operating income.
Graham Heath, CFO of i3 Energy, sat down with TMH’s Caroline Egan to discuss the programme.
“The programme will target low-risk, high-return production, including wells in our Clearwater and Simonette Montney acreage designed to accelerate value creation in these key plays,” he said.
Shares in i3 Energy PLC (ITE) are steady today, trading at $0.215 per share as of 10:04 am EST.
Mexican Supreme Court grants injunction allowing Xebra (CSE:XBRA) to commercialize cannabis
In cannabis news, Xebra announced on Monday that its Mexican subsidiary, Desart MX, SA de CV has been granted an injunction by the Mexican Supreme Court.
The injunction provided Xebra with an outright first-mover advantage in the Mexican CBD and CBG market.
Official licenses will be granted by the Mexican Health Regulatory Agency (COFEPRIS) in due course.
Xebra Brands Chairman Robert Giustra sat down with Caroline Egan to discuss the company’s next steps.
Shares in Xebra Brands (XBRA) are up 2.94 per cent, trading at $0.35 per share as of 10:48 am EST on Friday.
Power Metals (TSXV:PWM) announces agreement with Sinomine
On Wednesday, Johnathan More, Chairman and Director of Power Metals spoke with Caroline Egan to discuss the company’s agreement with Sinomine Rare Metals Resources Co Limited.
After entering into a letter of intent in September 2020, this agreement will provide equity financing and an agreement to negotiate an offtake agreement with Sinomine.
“This is a huge day for all shareholders of Power Metals,” said Mr. More. “Sinomine is one of the largest producers of rare & light minerals products in the world and their partnership in developing our Case Lake Project will bring extensive value.”
Shares in Power Metals Corp. (PWM) are currently down 4.26 per cent, trading at $0.225 per share as of 11:04 am EST.
Generation Mining (TSX:GENM) secures contract with Wheaton Precious Metals (TSX:WPM)
Also in mining news, Generation Mining secured a C$240 million contract with Wheaton Precious Metals to produce gold and platinum at the Marathon Palladium Copper Project in Ontario.
Wheaton will purchase all payable gold production until Generation delivers 150,000 ounces, after which it will purchase 67 per cent of the production for the life of the mine.
“Entering into this agreement with the world’s largest precious metals streaming company validates the potential economics of the Marathon Project and is a significant milestone for the company,” said Jamie Levy, Generation’s President and CEO.
Shares in Generation Mining (GENM) are steady, trading at $0.92 per share as of 11:13 am EST.
Wheaton Precious Metals (WPM) is up 0.65 per cent, trading at $54.50 per share as of 11:18 am EST.
Nextech AR (CSE:NTAR) (OTCQB:NEXCF) signs multiple AR ecommerce deals across a variety of industries
On Thursday, Nextech AR Solutions CEO Evan Gappelberg sat down with Caroline Egan to discuss the company’s news.
“It really feels like the whole world is going 3D – and I believe that the mass adoption of 3D models has started,” said Mr. Gappelberg. “Since the launch of ARitize 3D in October – we have signed over 60 new accounts which have cumulatively purchased thousands of 3D models.”
Mr. Gappelberg has now purchased more than 50,000 shares of Nextech AR in the open market, increasing his ownership to 10,099,589 common shares.
Shares in Nextech AR (NTAR) are currently down 1.49 per cent, trading at $1.32 per share as of 11:10 am EST.
That’s all for our Top 5 this week. Tune in next week for more of our Top 5 stories, and we wish you happy holidays from The Market Herald Canada.
