TORONTO - Canadian mining equities showed modest signs of improvement during the first quarter of the year underpinned by improved commodity prices and continued cost management, according to EY's Canadian Mining Eye: Q1 2014.
The index gained 13% during Q1 2014 compared to an 8% loss during Q4 2013. It also outperformed the S&P/TSX composite index, which gained 5%, and the London Metal Exchange index, which lost 6%.
"The first quarter proved a positive start to the year," says EY's Canadian mining and metals leader Bruce Sprague. "We expect modest strengthening of investor confidence in the sector to continue and drive new transactions and financing opportunities for Canada's mid-tier and junior miners."
Over the next quarter EY expects the following:
The Canadian Mining Eye tracks Canadian mining sector performance of 100 TSX and TSXV mid-tier and junior companies with market capitalizations at the end, broadly falling between CDN$2.0b and CDN$100m.
Read the complete Canadian Mining Eye: Q1 2014 by clicking here.