STLLR Gold Inc (ME)

[NYBob]

Canada gold assets regaining lost luster, helped by soft C$ -

http://www.miningweekly.com/article/canada-gold-assets-regaining-lost-luster-helped-by-soft-c-2015-03-06

Note.
"We have noticed that mining companies are really, really looking at
Canadian projects," said Richard Boulay, a director with
Moneta Porcupine Mines.
He said Moneta, which owns gold projects near Timmins, Ontario, had been
approached by five major miners at the convention seeking details on its
assets.

These Canadian mines generally do not hold the promise mega projects like
Barrick Gold Corp's Pascua Lama asset, in South America, and Kinross Gold
Corp's, Tasiast mine, in West Africa. But bets like those soured badly
and resulted in billions in write-offs.

Miners are now keen on smaller assets in safer jurisdictions that cost
less and are faster to build.
And even though project permitting can be arduous in Canada, much of the
recent takeover activity in the sector has centred around
Canadian gold assets.

In January, Canada's Goldcorp agreed to buy Probe Mines in an all-stock
deal that valued the owner of the Borden Gold project in Ontario
at C$526-million.

Late last year, Osisko Gold Royalties agreed to buy smaller rival Virginia
Mines for C$479-million, winning control of royalty interests in two
major Quebec mines.

Those deals came less than a year after Yamana Gold and Agnico Eagle Mines
bought Osisko's Canadian Malartic gold mine in the province of Quebec and
other assets in the area for C$3.9-billion.

"Investors have yet to catch up with the corporates who see value in these
assets.
In time, that trend is likely to change, as it has in previous cycles,"
said James Wilson, mining analyst for Morgans Financial, in Perth.
He sees a similar trend eventually playing out in Australia as well, as a
weaker Aussie dollar pushes miners take a closer look at gold assets
there.
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