Oreninc Index Update: December 15, 2011

In the final update before the New Year, the Oreninc Index fell for the second week in a row. A decrease in broker participation led to a slight fall from last week. However, we saw a rise in total money raised and deals opened. A large portion of money announced this week was issued on a flow-through basis, as investors look for tax advantages and resource companies prepare for 2012 exploration.

• Total number of opened deals climbed to 56.
• Opened brokered deals fell to nine, just above half of last week’s total.
• Average brokered deal size fell slightly to $4.3 million.
• Bought deals announced decreased to one.
• Averaged opened deal size made a small climb to $2.6 million.

This week’s major private placement openings included:

• Petro-Reef Resources Ltd. (TSX-V:PER) opened a $40 million private placement on a best efforts basis.    
• Yoho Resources Inc. (TSX-V:YO) opened a $19 million private placement underwritten by a syndicate led by FirstEnergy Capital on a bought deal basis. The deal is expected to close on or about December 30, 2011.
• Bannerman Resources Limited (TSX:BAN) opened an $8.2 million private placement underwritten by a syndicate led by GMP Securities on a best efforts basis. The deal is expected to close on or about December 23, 2011.
• Canadian Zinc Corp. (TSX:CZN) opened a $6.05 million private placement underwritten by a syndicate led by Canaccord Genuity on a best efforts basis. Each unit includes a 1/2 warrant that expires in 24 months. The deal is expected to close on or about December 30, 2011.

Major private placement closings:

• Corsa Coal Corp. (TSX-V:CSO) closed a $22.17 million private placement underwritten by a syndicate led by GMP Securities on a best efforts basis.
• Crown Point Ventures Ltd. (TSX-V:CWV) closed a $13.09 million private placement underwritten by a syndicate led by Casimir Capital on a bought deal basis.
• Tethys Petroleum Ltd. (TSX:TPL) closed a $13.06 million private placement underwritten by a syndicate led by Renaissance Capital on a best efforts basis.
• East Asia Minerals Corp. (TSX-V:EAS) closed a $13 million private placement underwritten by a syndicate led by RBC Capital on a best efforts basis.