The Toronto Stock Exchange (TSX) Venture market is seeing a flurry of activity as companies are poised to gain from the ongoing gold price rally. Last week, the TSXV saw quite a few high-profile stocks make strong runs, with Lavras Gold Inc. (TSXV:LAV) leading the pack as its share price leapt on news of a major discovery at its Brazil project.
Lavras Gold is focused on the development of its Lavras do Sul gold project in Brazil. The company has been actively exploring the project since it launched operations in 2017, and has so far made a number of discoveries, including a new gold-bearing quartz vein structure. The vein was discovered during the first phase of a drilling program began earlier this year, and the findings could potentially improve the near-term gold potential of the project.
The news of the discovery drove Lavras Gold’s share price up by 11% this week, reaching a high of $0.43. While the stock has since backed off slightly, it is still up 15.2% since the beginning of the month and 62% over the past year.
In addition to Lavras Gold, there were several other TSXV stocks that rose significantly this week. Montero Mining & Exploration (TSXV:MON) surged 16.7% on the back of its announcement that it had raised $3.3 million, which it will use to advance its exploration program at its high-grade Wigu Hill rare earth element project in Tanzania.
Meanwhile, Central Iron Ore (TSXV:CIO) saw its shares jump 22.3% this week, as investors reacted positively to the company’s decision to acquire a C$2.5 million private placement with a syndicate of buyers, which it will use to advance its iron ore and gold projects in the United States.
Elsewhere, two more TSXV companies saw strong share price runs during the week. First was Tier One Capital (TSXV:TONE), whose stock gained 17.7% after the company announced the completion of its acquisition of Core Capital Assets. Meanwhile, Bomboré Gold (TSXV:BOR) rose 12.5% after the company announced that it had successfully raised C$8 million to fund the exploration and development of its Bomboré Gold Project in Burkina Faso.
Overall, it was a good week for TSXV stocks, as investors looked to capitalize on the ongoing gold rally. While volatility in the market can make stock picks difficult, Lavras Gold’s sharp jump in the face of a major discovery is a good reminder of the potential of gold projects. For investors willing to take the risk, these TSXV stocks offer good opportunities for potentially big returns.