Last week, we highlighted rising inflation and rising wages as the Canadian economy continues to open up after province-wide lockdowns.
This week, the Canadian dollar was down slightly at US$0.78/C$1.00, highlighting a greater trend in the economy—while markets jumped earlier this summer as the country began to open, retail markets appear to be steadying out.
According to Statistics Canada, retail sales were up 4.2 per cent in June, but early estimates suggest that sales decreased 1.7 per cent in July, still higher than early pandemic numbers.
The S&P/TSX Composite Index followed suit, down 0.86 per cent over the last five days after an all-time high last Wednesday. This week, the index peaked at 20,488.22 on Monday and was sitting at 20,287.41 as of 11:11 am ET on Friday.
Readers of The Market Herald Canada continued to show interest in the cannabis, mining, energy, and technology sectors, reading stories from Sugarbud, Rio2 and Sixth Wave, Water Ways, Athabasca Oil, and PyroGenesis.
Here is a look at what our investor audience was reading this week.
Sugarbud (TSXV:SUGR) expands Ontario product portfolio
On Monday, Sugarbud Craft Growers launched Krypto Chronic #2, a 3.5-gram dried flower product that will be available for purchase from the Ontario Cannabis Store.
The company described the product as having “dense sugary buds with dark hues of purple, green and orange, coated in greasy, high-density trichomes.”
Sugarbud’s CEO, John Kondrosky, commented on the product launch.
“Together with our most recent launch of Mule Fuel, Krypto Chronic #2 is yet another fine example of the house style and craftsmanship that has come to define Sugarbud Craft Cannabis.”
Krypto Chronic #2 is expected to be available for purchase from private cannabis retailers throughout the province in September.
Shares in Sugarbud remained fairly steady this week at a price per share of around $0.045.
Rio2 Limited (TSXV:RIO) and Sixth Wave (CSE:SIXW) partner for further mining technology trials
In a partnership between mining and technology, Rio2 Limited and Sixth Wave Innovations are testing Sixth Wave’s patented IXOS purification polymer at Rio2’s Fenix Gold Project in Chile.
Previous testing of ore samples from the Fenix project confirmed that IXOS® Mining Technology outperformed activated carbon on several key metrics.
Dr. Jon Gluckman, President and CEO of Sixth Wave, commented on the partnership with Rio2.
“We have really been impressed by the Rio2 team and the investment in time and resources that they are making to further this program,” he said.
Alex Black, President and CEO of Rio2 Limited, also commented on the partnership.
“Rio2 is always looking to embrace and trial new technology,” he said. “We look forward to working alongside Sixth Wave during the development phase of the project.”
Shares in Rio2 were down 10.77 per cent over the week, trading at $0.58 per share as of 10:25 am on Friday, August 20.
Sixth Wave Innovations was up 4.35 over the week on Friday, trading at $0.36 per share as of 11:36 am ET.
Water Ways (TSXV:WWT) signs date cultivation project in Vietnam
Also on Monday, Water Ways Technologies Inc. announced that it had received a $900,000 order from a company in Vietnam.
The order will allow the Vietnamese company to grow and cultivate Medjool dates.
“For the first time, we are delivering a complete cultivation project,” said Ohad Haber, CEO of Water Ways. “Our ability to provide the know-how to grow Medjool dates will create a strong foothold for us in Vietnam’s agriculture market.”
According to the Israeli Export Institute, three out of every four Medjool dates consumed in the world last year were grown in Israel. Water Ways Technologies, based in Israel, is a perfect fit for this type of project.
Shares in Water Ways Technologies are at an all-time high, up 200 per cent compared to the same time last year and trading at $0.21 per share as of 11:37 am ET on Friday.
PyroGenesis (TSX:PYR) secures plasma torch contract
PyroGenesis Canada makes it onto our Top 5 list once again, announcing on Tuesday that it has signed a $1.2 million contract for two Air Plasma Torch systems.
The order is from an existing client in Asia, who will incorporate the torches into its medical waste destruction systems.
P. Peter Pascali, CEO and Chair of PyroGenesis, commented on the contract.
“This entry into the medical waste destruction market,” he said, “is just another of our offerings that complement our strategy to become a preeminent supplier of processes that reduce greenhouse gases.”
The company expects to deliver the torches in Q1 2022.
Shares in PyroGenesis Canada Inc. sank to a low of $4.71 per share on Monday before spiking to $5.22 on Tuesday and remaining around $5.00 per share throughout the week.
As of Friday at 11:45 am ET, shares were up 1.83 per cent on the day and trading at $5.00 per share.
Athabasca Oil (TSX:ATH) increases corporate liquidity by $100M
Closing out our Top 5 list today is Athabasca Oil Corporation, which announced on Wednesday that it has increased its corporate liquidity by around $100 million.
Based on the belief that the market for Canadian heavy crude oil is improving, the company has completed several recent transactions to bolster its liquidity position.
As a result, Athabasca believes conditions will emerge for lower volatility compared to what has been experienced in recent years.
Athabasca has assigned its Keystone Base service to an industry player, entering into a seven-year marketing agreement with the counterparty that will diversify its sales to the U.S. Gulf Coast.
Shares in Athabasca Oil are down 8.97 per cent since last Friday, trading at $0.71 per share as of 12:06 pm ET on Friday.
Tune in next Friday for our weekly report on the top 5 stories of the week from The Market Herald Canada.
