ATAC Resources Continues Rally after Barrick Earn-In
ATAC Resources (ATC: TSXV) continued its rally Tuesday, one day after its historic press release involving Barrick Gold. ATAC Resources rallied 19% to close at the day’s high of $0.59 per share. The move came one day after ATAC gapped 17.86% on 1.7 million shares traded.
On Monday, we published an article titled ATAC Signs Agreement with Barrick – Potential Investment of $63.3 million. Below is a short excerpt:
“ATAC Resources (ATC: TSXV) hit its highest level since February after announcing an earn-in agreement with Barrick Gold. The long-time Yukon explorer has been building momentum for weeks and today put out one of the most significant press releases on the TSX Venture in 2017. Whenever the world’s largest gold miner makes its way into the title of a junior gold stock press release on the TSX Venture, investors stop and read.
ATAC Resources announced Monday that,
“The transactions consist of a potential total investment by Barrick of approximately $63.3 million, which includes a private placement of $8.3 million and a two staged, $55 million exploration earn-in option to acquire up to 70% of the Orion Project.”
This investment by Barrick represents validation for ATAC Resources shareholders and the need for large producers to pay serious money for exploration projects with upside. These types of transactions simply were not happening between 2012 and early 2016.”
Click here to read the entire article.
Gold traded above $1,275 per ounce Tuesday, the highest level since mid-November. This added fuel to ATAC’s market as the junior gold stock closed at its highest level in nearly six months. The majority of junior gold stocks traded higher Tuesday. The VanEck Vectors Junior Gold Miners (GDXJ) moved 1.96% higher to close at $37.50 per share. There was a total of 22.61 million shares traded – the most since late March.
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