There’s gold in “them, thar markets,” as the old saw goes, and with tension in the world, gold stocks tend to climb. Thursday proved no exception.
The gold sector made headway in Toronto, 0.9% worth, while in New York, materials, the host to many mining firms, dipped 0.4%.
In Canada, Vancouver-based Soma Gold Corp. (TSX-Venture:SOMA) disclosed to the world Thursday it had closed its acquisition of the shares of Operadora Mineras S.A.S., concluded last weekend. The payment of the first of $1 million U.S. of the $5.5-million U.S. purchase price, was made on May 29. The second payment of $4.5 million U.S. is due to Mineros by September 4. Soma has now assumed full operational control of Operadora.
Operadora owns the El Bagre Underground Gold Operations, which include an operating gold production facility along with a portfolio of mineral exploration and capital equipment assets. El Bagre operation is a rich one, producing 4,050 gold ounces in Q1 2020 and is expected to be on target to produce 15,856 gold ounces for the full year 2020.
Shares in SOMA took on 1.5 cents, or 9.1%, to 18 cents, late Thursday afternoon, on volume of 45,000 shares.
On the other side of the border, Reno-headquartered Magellan Gold Corporation (OTC:MAGE), announced today the redirecting its focus toward domestic United States precious metal opportunities as the best path forward to maximize shareholder value.
David E. Drips has resigned as Chief Executive Officer, President, and Director of the Company. Going forward, Drips will continue to be an integral part of MAGE’s technical advisory board.
As the firm disclosed in its recent filings with the Securities and Exchange Commission (SEC) Magellan has divested all of its Mexico operations through the sale of its subsidiary Magellan Acquisition Corp.
According to company director John Power, "COVID-19 presented significant challenges in our efforts to manage and advance the company's Mexico assets and we quickly made the strategic decision to exit Mexico and focus on opportunities in the United States.
"We already have an excellent advanced stage exploration project in the Silver District in Arizona and we look forward to adding at least one new domestic project this year."
Magellan shares galloped 34.9 cents, or 87.2%, to 74.88 cents, on minimal volume.
