The impact of the magnitude 9.0 quake hitting Japan, followed by tsunami waves and a string problems at the Fukushima Daiichi nuclear facility had investors running for the exits early in the trading week. By Thursday however, cooler heads had prevailed and the buyers came back into the markets with a vengeance. Once all the trading was done the TSX Ventures Exchange, home to more junior exploration companies than anywhere else in the world, had dropped 1.01 per cent, while the TSX Gold Index had fallen by 0.79 of a per cent.

Not a good time for uranium companies, one assumes?

No. With Japan struggling to avert nuclear meltdowns at several reactors, confidence in the future of nuclear power plummeted, and so did the uranium sector. The radioactive bloodbath in uranium equities was across the board and so bad that Uranium One announced that its ability to complete the acquisition of Tanzania-focussed Mantra Resources is now in jeopardy. Uranium One is pursuing Mantra in an all-cash A$1.2 billion deal. Uranium One fell C$2.03 to close at C$3.93.

The wider context being that the Japanese crisis has prompted China to state that it will slow its nuclear plant build-out program, and that the spot price of U308 fell by around 10 per cent on the week.

Yep and that resulted in shares in Cameco falling C$7.36 to C$28.96, and shares in Denison Mines falling C$0.62 to close at C$2.57.

Uranium exploration companies appear to have been the hardest hit.

That’s true, because they have the highest level of intrinsic risk even without taking into account the falling price of U308. A good example was advanced Canadian explorer Hathor Exploration, which lost C$0.76 to close at C$2.08.

Enough of the misery in the uranium sector. What’s happening elsewhere in the market?

Another bombshell came out of Colombia, as reports circulated that Greystar Resources had withdrawn its permit applications for the Angostura deposit in northeastern Colombia. Greystar then clarified the story by stating that it does not intend to withdraw completely from Angostura but is studying alternative development options, including a possible move to mine the project solely as an underground operation. Greystar hit a low of C$2.26 before ending the week down C$0.03 to close at C$2.75.

Next door however, Galway Resources continues to make good progress with drill results, and on the back of positive sentiment in the context of the recent US$1.6 billion acquisition of neighbour Ventana by one of the world’s richest men. Galway finished the week just about flat at C$1.02.

Meanwhile, Timmins Gold has increased its offer for Capital Gold in a last minute bid to thwart a rival offer by Gammon Gold. Under the increased offer, Capital Gold shareholders will receive 2.27 Timmins Gold shares and US$0.25 in cash for each share of Capital Gold held. Not to be outdone, Gammon came back with an offer of C$1.09 per share in cash plus 0.5209 Gammon share for each share of Capital Gold held. Let the games continue! The shareholder vote is now set for April 1st. Timmins Gold ended the week up C$0.15 at C$2.48, Gammon closed C$0.14 lower at C$8.50, while Capital Gold added C$0.14 to close at C$5.37.

And it was a wild ride for shareholders of Teck Resources. First off, the diversified major gave out disappointing coal sales guidance for the first quarter. Citing bad weather conditions, the company said sales have been affected because of slow coal transportation. Teck now expects coal sales in the first quarter to be between 4.6 million and 4.9 million tonnes, down from prior guidance of between five million and 5.5 million tonnes. Offsetting this bad news, however, was word that the company has reached a new five-year agreement with striking employees at its Elkview coking coal mine in British Colombia. Teck ended the week up C$2.44 at C$53.37.

Elsewhere, White Tiger Gold went shopping and elected to buy Century Mining in an all-stock deal valued at C$743 million. White Tiger, which has assets around Russia, is interested in Century’s flagship Lamaque gold project in Quebec, as well as its San Juan project in Peru. The combined company is expected to produce about 115,000 ounces of gold a year. White Tiger ended the week down C$0.85 at C$3.70, while Century dropped C$0.04 to close at C$0.54.

In copper, Taseko Mines tabled an operating profit of C$125.5 million and earnings of C$148.6 million, or C$0.80 per share, in the fourth quarter of 2010. Taseko ended the week up C$0.28 at C$5.88.

Any drilling news?

VMS Ventures tagged 50.08 metres grading 6.85% copper at its Reed Lake property in Manitoba. VMS ended the week up C$0.08 at C$0.79.

And shares of Gold Canyon surged C$1.00 to close at C$3.36 thanks to more positive drill results from its Springpole project in Ontario. The latest batch included 100.5 metres running 7.23 grams gold per tonne.

Richfield Ventures also continued to attract investor interest by returning 145 metres grading 2.7 grams gold per tonne at its Blackwater project in British Columbia. Richfield closed at C$6.64 for a C$0.64 gain.

Also attracting interest was Ivanhoe Mines, which announced a new shallow copper, molybdenum and gold zone some 10 kilometers from its famous Oyu Tolgoi copper-gold project in Mongolia. Ivanhoe ended the week up C$1.20 at C$25.84.

Finally, Prodigy Gold cut 261 metres grading 1.13 grams gold per tonne at its Magino Mine property in Ontario. Prodigy closed at C$0.36 for a C$0.05 gain.

All eyes will be on Japan and the country’s attempts to stem the radiation coming out of its nuclear reactors. Any fallout from the Greystar news in Colombia will also be watched eagerly by traders. We will see what next week brings us.

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Top three miners in the world was on fire. Vale, BHP Billiton and Rio Tinto generate operating cash flow of USD 62.6bn during 2010

As Des Kilalea of RBC Capital Markets puts it, “the reconstruction of Japan will benefit many infrastructure materials in the medium term”. For now the focus is on assessing the extent of damage to the country, following crippling natural disasters. Looking beyond the short-term, mining investment programmes could well remain unchanged, not least given the long term views built into approvals.

The pace and extent of mining capital expenditure budgets expanded significantly during 2010; 2009 had been a wound-licking year after the 2008 credit markets crisis. For the market leaders, capital expenditure during 2010 exceeded the peak seen in 2008.

BHP Billiton, Vale, and Rio Tinto produced aggregate operating cash flow of USD 62.6bn during 2010, setting all kinds of records, and underpinning some of the world’s biggest market capitalisations (values). BHP Billiton, the world’s biggest diversified resources stock (it is also in the oil business), led the pack, with operating cash flow of USD 24.7bn, underpinning a market value of USD 220bn.

Investors want growth, and these stocks are delivering. BHP Billiton spent nearly USD 10bn on capital expenditure during 2010; deducted from operating cash flow, this left the group with USD 14.8bn in free cash flow.

TOP THREE MINERS*

USD m	2010	2009	2008	2007
Operating cash flow	62,591	27,585	55,380	35,942
Capital expenditure	-27,122	-22,237	-26,696	-19,442
Free cash flow	35,469	5,348	28,684	16,500

* BHP Billiton, Vale, Rio Tinto

Investors also demand cash when it is flowing this freely; here, BHP Billiton recently announced an expanded capital management programme (share buy backs) of USD 10bn, scheduled to be complete by the end of 2011. This is nothing new: over the past five years, the group has bought back USD 12bn worth of its own stock, and paid shareholders just over USD 18bn in cash dividends.

BHP Billiton’s muscle can be compared to Exxon Mobil, the world’s most valuable listed stock of any kind, at USD 409bn. During 2010, ExxonMobil produced USD 19.5bn in free cash flow (compared to BHP Billiton’s USD 14.8bn). Given BHP Billiton’s diversification, this suggests either that ExxonMobil could be overvalued, or that BHP Billiton could be undervalued. And the oil business does not look the same as BHP Billiton going, big time, into potash.

For BHP Billiton, Vale and Rio Tinto, the key common cash-flow denominator is unquestionably seaborne iron ore. The three dominate the global trade, where prices are set by the cost of the final tonne of iron ore produced by the highest-cost producer. Demand is overwhelmingly driven by China, not only the world’s biggest steel producer, but also a country where over the past decade domestic iron ore output has contracted, giving external iron ore miners a double whammy, as China turned into an iron ore importer.

China’s overall high rates of growth could continue for another two decades. BHP Billiton alone has earmarked USD 80bn worth of capital expenditure over the next five years. Vale is advertising leading global mining capital expenditure during 2011, with a budget of USD 24bn (compared to USD 12.7bn in 2010). Vale anticipates that this year’s global mining capital expenditure “is very likely to surpass” the peak of USD 120bn reached in 2008.

VALE: ADJUSTED EBITDA BY BUSINESS AREA

USD m	2010	2009
Ferrous minerals	23,976	8,395
Coal	21	-1
Base metals	2,294	1,159
Fertilizer nutrients	176	255
Logistics	345	295
Others	-696	-938
Total	26,116	9,165
Source: Vale

Vale has some things to prove. Despite significant corporate activity over the past five years, starting with hefty acquisitions in nickel in 2006, Vale has yet to demonstrably diversify its earnings stream beyond the absolutely astonishing capabilities of its iron ore division. The emphasis over the next five years targets a stupendous increase in iron ore output, along with significant increases in output of nickel, copper, coal, potash and phosphate rock.

Vale, ’000 tonnes	2011e	2015f	Change
Iron ore	311,000	522,000	67.8%
Nickel	295	381	29.2%
Copper	332	691	108.1%
Coal	11,600	42,000	262.1%
Potash	800	3,400	325.0%
Phosphate	6,400	12,700	98.4%

Rio Tinto, which is yet to banish the ghost of spending USD 37bn in cash on the Alcan acquisition in 2007, reported a significant comeback in 2010. The overall aluminium division, however, contributed just USD 733m to underlying earnings. This could seem tragic, considering that Rio Tinto already operated a big aluminium business before it pounced on Alcan, outbidding at least one potential rival.

Rio Tinto has approved USD 12bn of major capital projects since the start of 2010. This includes what Rio Tinto describes as “Australia’s largest fully integrated mining project through the expansion of our iron ore business in the Pilbara towards 283m tonnes a year by 2013, and continue to finalise studies into the phase two expansion to 333m tonnes a year by 2015″.

Rio Tinto’s numbers for 2010 show that the group also relied heavily on its existing iron ore division. Copper contributed well; after iron ore, copper ranks as one of the world’s most profitable minerals, along with coking coal, a business globally dominated by BHP Billiton.

Rio Tinto

Underlying earnings

USD m	2010	2009	2008
Iron ore	10,189	4,126	6,017
Aluminium	733	-560	1,237
Copper	2,534	1,878	1,597
Energy	1,187	1,167	2,581
Diamonds & minerals	328	800	474
Other	-984	-1,113	-1,603
	13,987	6,298	10,303

As an essential ingredient in iron ore reduction, coking coal’s fortunes are largely tied into the steel cycle. BHP Billiton’s heftiest earnings contributors can be identified as iron ore, its high-margin oil business, coking coal and copper. Along with its other divisions, the group’s diversification is likely to remain supreme for the foreseeable future.

BHP Billiton, financial year to 30 June

Underlying earnings before interest, depreciation & tax

USD m	2010	2009	2008	2007
Oil & gas	4,573	4,085	5,485	3,014
Aluminium	406	192	1,465	1,856
Base metals	4,632	1,292	7,989	6,875
Diamonds/other	485	145	189	197
Nickel	668	-854	1,275	3,675
Iron ore	6,001	6,229	4,631	2,728
Manganese	712	1,349	1,644	253
Coking coal	2,053	4,711	937	1,247
Steam coal	730	1,460	1,057	481
Other	-541	-395	-390	-259
Total	19,719	18,214	24,282	20,067

Some big miners

	Stock	From	From	Value
	price	high*	low*	USD bn
BHP Billiton	GBP 21.99	-16.9%	31.0%	220.18
Vale	USD 32.44	-12.9%	38.1%	171.57
Rio Tinto	GBP 38.34	-18.7%	39.3%	126.91
Shenhua	CNY 26.69	-13.6%	30.8%	66.97
Suncor	CAD 42.09	-11.0%	40.7%	66.60
Anglo American	GBP 29.47	-15.0%	32.3%	63.33
Xstrata	GBP 12.94	-18.1%	55.4%	61.38
Barrick	USD 51.00	-8.5%	39.0%	50.93
Coal India	INR 338.45	-5.4%	38.1%	47.19
Freeport-McMoRan	USD 48.93	-20.2%	74.1%	46.31
* 12-month

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While 80 tons of gold ETF position which sold out in January and February, largely a result of portfolio rebalancing and investment in the future will likely continue to grow.

80 tonnes of gold were sold out of gold ETFs in the first two months of 2011 but, there is no need to worry yet that investors in these products are beginning to get cold feet about the yellow metal.

Speaking on Mineweb.com's Gold Weekly podcast, Jason Toussaint, MD for the US and Investment at the World Gold Council said that of the 80 tonnes sold in January and February, 67 of those tonnes were sold in January and 70 were sold specifically out of the SPDR gold trust.

"We need to remember that gold had a tremendous return in 2010. It was up 29% and what we were told directly from investors and their trading partners was that many investors took the opportunity to rebalance their portfolios because gold, whilst it may have been a fairly moderate position initially, because of its return relative to other assets, had suddenly become an outsized position," he said.

The other primary reason for the sale, according to Toussaint was a decision by some of the larger institutional investors (which account for roughly 47% of the SPDR holdings) to redeem their GLD shares in favour of holding bullion directly in their own names.

And, while the WGC doesn't see this move as an increasing trend away from ETFs, the organisation does take it as a good sign of gold demand strength more broadly because, as Toussaint explains, "when they [investors] are holding physical bullion, we take that generally as a sign that they are long term investors in physical bullion and are looking for the absolute minimum costs of holding those positions over the long run."

Asked about the increase in demand for physical gold in the form of bars and coins and how that might affect the ETF market, Toussaint says it is very difficult to predict investor attitudes towards one or the other but, he says, what is evident is that more and more investors are considering gold in a portfolio context rather than as just a collectible item and are beginning to decide on a personal level which the best vehicle for them is.

"A lot of that dialogue is occurring now with individual investment advisors who are best placed and positioned to give that particular sort of - if you will - access vehicle choice guidance to their individual clients," he adds.

Globally, despite the selloff that kicked off the year, Toussaint says investment demand for the yellow metal is increasing and, the demand is clearly being dominated by China and India.

"If you're a domestic Chinese citizen investing offshore is not a possibility in most cases - so you're looking at domestic equities and fixed income in real estate, and there is some concern about the correct state of each of those markets, so this diversification aspect into gold is coming to the forefront."

And, he says, "jewellery in India in the Asian markets, is viewed not only as adornment but as a physical investment asset as well which is a bit different than the way we view it in the West. I would say that against the backdrop of a vast creation of wealth in the middle class if you will or new wealth in India and China, the first marginal asset for accumulation tends to be gold. Therefore there is a large systemic factor in those markets that supports increasing gold demand."

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Platinum and palladium stocks started to bite again, according to RBCCM. At the PGM cherry as prices are likely to continue to rise and many current valuations look compelling.

Analysts at RBC Capital Markets believe that the current sell-off in platinum stocks – about 10% over the past week alone – offers a “second bite at the cherry with two of the ‘juiciest’ cherries looking like Aquarius Platinum and North American Palladium at present”.

RBCCM says the issues driving the sell-off “are essentially related to a belief that world economic growth is again taking a beating with rising sovereign risk in Europe and ongoing political instability in the Middle East having an unnerving impact on the price of oil and just to top it off, a large earthquake in Japan”.

RBCCM believes that this “offers an opportunity to become invested for two reasons. The first is simply that the cost base in the South African PGM (platinum group metal) industry is still escalating at rates that will require higher metal prices even if we were facing a flat demand profile. The second relates to very low valuation multiples on some of the stocks in the space – even at current metal prices flat forward”.

The second half of 2010 “delivered a sizeable increase in output”; with rising metal prices, RBCCM finds that “we now have less of the industry making negative cash flows (only about 10% versus over 25% before)”.

As much as this is a “good story”, however, says RMCCM, “one must also take note that almost half of the industry would have been making negative cash flows if the metal price basket” did not improve during the second half of 2010″. Such cash flows referred to are those expressed as including capital expenditure, increasingly known as “free cash flow”.

If the industry cost is increased hypothetically by 10% a year (seen as “easily achievable”, given power cost escalation of 25% a year and labour cost escalation at 10% a year), “a significant portion of production” will be under pressure unless the metal price increases again.

Given flat metal prices, according to RBCCM, “at least a third, but possibly as much as half of the industry, will be right back into making losses”. Again, this is on a free cash flow basis.

A “quick scan” by RBCCM “delivers a clear preference for investment into Aquarius Platinum, and North American Palladium. Beyond these, RBCCM also sees “decent value” in Lonmin, and Stillwater, while on the smaller scale, in Sylvania Resources, Anooraq, Platmin, Jubilee Platinum, and Platinum Australia.

The stocks mentioned operate in South Africa, with the exception of NA Palladium and Stillwater, which are North American. Investment risks across these companies are varied, says RBCCM with the lowest risk likely attributable to North American Palladium and Stillwater, followed by Lonmin and Aquarius with the juniors all of higher risk on average, “given the usual development problems and capital needs associated with growing juniors”.

Selected platinum stocks

	Stock	From	From	Value
Tier I platinum	price	high*	low*	USD bn
Anglo Platinum	ZAR 660.50	-20.5%	9.4%	25.218
Impala Platinum	ZAR 192.62	-20.9%	13.3%	17.638
Lonmin	GBP 16.97	-20.6%	26.3%	5.539
Averages/total		-20.7%	16.3%	48.395
Weighted averages		-20.7%	12.5%
Diversified
Anglo American	GBP 31.10	-10.4%	39.6%	67.354
Mvela Resources	ZAR 35.00	-15.9%	20.8%	1.100
Norilsk	USD 24.33	-8.6%	75.3%	46.380
Camec	Now at ENRC
ARM	ZAR 203.74	-13.7%	39.3%	6.281
Xstrata	GBP 13.67	-13.4%	64.2%	65.369
Averages/total		-12.1%	43.8%	121.115
Weighted averages		-9.9%	51.2%
Tier II platinum
Stillwater	USD 21.51	-16.9%	104.5%	2.198
Aquarius	GBP 3.40	-30.6%	60.8%	2.541
Northam	ZAR 42.00	-22.9%	7.1%	2.199
NA Palladium	CAD 6.08	-23.2%	98.7%	1.014
Zimplats	AUD 13.00	-22.3%	36.8%	1.411
Eastplats	CAD 1.40	-29.3%	62.8%	1.271
Anooraq	CAD 1.06	-41.1%	20.5%	0.220
Royal Bafokeng Platinum	ZAR 60.93	-14.2%	1.2%	1.449
Averages/total		-28.7%	56.1%	10.854
Weighted averages		-32.8%	25.6%
* 12-month

Source: market data; table compiled by Barry Sergeant

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Since the jury issued a decree limits the damage of Japanese nuclear facility after the massive earthquake, investors are taking decisive action on Monday and sold down shares of uranium

During Australian trade, Pitchstone Exploration was sold down by 32% on the day. In early Canadian trade, Forum Uranium, was likewise down by 32%. South Africa-focused First Uranium was down 15% to CAD 0.82 a share. This stock listed five years ago, just ahead of the spike in spot uranium prices, and declined from highs in 2007 of CAD 13.00 a share.

The world’s biggest listed uranium producer, Canada’s Cameco, was falling 18% on Monday, taking its market value down to USD 12bn. France’s Areva, a diversified nuclear name which also mines, was down by a more modest 9% in Euro terms. Australia-listed Extract Resources (market value: USD 2.5bn) was among the least impacted, possibly on the recent buyer interest expressed in Kalahari Minerals, which owns a major stake in Extract.

Prior to the rout, uranium stocks had recovered strongly in recent months, following the increase in spot uranium prices from around USD 40.00 a pound in mid-2010 to over USD 70.00 recently. Quotes on uranium spot prices were not immediately available.

Selected uranium stocks

Producers	Stock	From	From	Value
	price	high*	low*	USD bn
Cameco	CAD 29.63	-33.1%	36.9%	11.999
ERA	AUD 8.25	-59.2%	2.6%	1.587
Paladin	AUD 3.95	-29.6%	17.2%	3.097
Uranium One	CAD 4.47	-36.3%	178.9%	4.394
Denison	CAD 2.42	-45.9%	110.4%	0.910
PriarGunsky	USD 255.00	-5.6%	54.5%	0.465
Averages/total		-41.9%	80.1%	22.453
Weighted averages		-36.4%	47.1%
Developers & other
First Uranium	CAD 0.82	-51.5%	15.5%	0.199
UEX	CAD 1.58	-39.9%	146.9%	0.330
Uranium Part.	CAD 6.60	-33.3%	29.9%	0.721
Summit Resources	AUD 3.03	-22.5%	67.8%	0.666
Mega Uranium	CAD 0.58	-55.5%	70.0%	0.149
Alliance Resources	AUD 0.32	-42.7%	12.5%	0.108
Bannerman	AUD 0.56	-38.1%	133.3%	0.132
Forsys	CAD 2.07	-57.3%	47.9%	0.170
Greenland Minerals	AUD 1.04	-26.2%	235.5%	0.330
Laramide	CAD 1.59	-44.6%	123.9%	0.110
Mantra Resources	AUD 7.50	-6.6%	111.3%	1.017
Energy Metals	AUD 0.58	-33.3%	34.9%	0.090
Deep Yellow	AUD 0.22	-44.2%	79.2%	0.244
Extract Resources	AUD 9.81	-9.2%	64.6%	2.482
Strateco Resources	CAD 0.72	-46.3%	84.6%	0.104
Strathmore Minerals	CAD 0.82	-51.2%	102.5%	0.075
UR-Energy	CAD 2.01	-40.0%	164.5%	0.212
Thor Mining	AUD 0.04	-32.8%	387.5%	0.018
Uranium Resources	USD 1.86	-53.2%	396.7%	0.172
Uranerz	CAD 2.93	-49.8%	215.1%	0.213
Hathor Exploration	CAD 2.16	-39.5%	60.0%	0.241
Marenica	AUD 0.07	-58.4%	12.6%	0.034
Marathon Resources	AUD 0.43	-45.9%	67.5%	0.042
Impact Minerals	AUD 0.12	-40.0%	31.9%	0.014
Kalahari Minerals	GBP 2.81	-9.0%	100.9%	1.113
Arafura Resources	AUD 0.95	-46.9%	150.0%	0.352
Uranium Energy	USD 3.88	-48.2%	83.7%	0.270
Dios Exploration	CAD 0.36	-18.2%	80.0%	0.014
Tournigan	CAD 0.19	-58.0%	122.4%	0.038
White Canyon	AUD 0.23	-11.8%	257.1%	0.052
Southern Uranium	Now at Investigator Resources
Uranium Equities	AUD 0.12	-40.0%	71.4%	0.025
Obtala	GBP 0.52	-2.6%	83.9%	0.196
Berkeley Resources	GBP 0.80	-33.6%	28.0%	0.134
Xemplar Energy	CAD 0.09	-65.4%	12.5%	0.011
JNR Resources	CAD 0.25	-52.9%	88.5%	0.025
Crosshair Exploration	CAD 1.33	-52.5%	216.7%	0.065
A-CAP Resources	AUD 0.47	-38.2%	67.9%	0.095
Fission Energy	CAD 0.89	-40.7%	128.2%	0.079
Curnamona Energy	AUD 0.18	-40.0%	28.6%	0.012
Thundelarra	AUD 0.45	-56.5%	7.1%	0.070
Khan Resources	CAD 0.43	-53.8%	145.7%	0.024
Vane Minerals	GBP 0.03	-33.3%	41.2%	0.016
Energy Fuels	CAD 0.73	-54.1%	461.5%	0.073
Azimut Exploration	CAD 1.45	-14.7%	163.6%	0.040
Desert Energy	AUD 0.11	-42.1%	29.4%	0.013
Pancontinental Uranium	CAD 0.25	-68.4%	257.1%	0.014
Pepinnini Minerals	AUD 0.19	-47.9%	40.7%	0.017
Nuinsco Resources	CAD 0.18	-37.9%	350.0%	0.047
Pitchstone Exploration	CAD 0.31	-50.0%	45.2%	0.012
Canalaska Uranium	CAD 1.01	-46.8%	26.3%	0.018
UraniumSA	AUD 0.39	-43.9%	176.2%	0.057
Bitterroot Resources	CAD 0.12	-47.8%	200.0%	0.010
Encounter Resources	AUD 0.89	-31.5%	334.1%	0.089
Calypso Uranium	CAD 0.30	-13.0%	185.7%	0.016
Energy & Minerals Australia	AUD 0.19	-35.6%	65.2%	0.074
Atomic Resources	AUD 0.45	-23.7%	350.0%	0.072
Titan Uranium	CAD 0.37	-58.0%	265.0%	0.049
Uranex	AUD 0.41	-54.2%	251.0%	0.070
Energia Minerals	AUD 0.20	-49.4%	122.2%	0.014
Pele Mountain	CAD 0.27	-61.6%	211.8%	0.036
Crossland Uranium	AUD 0.22	-29.5%	175.6%	0.025
Eromanga Uranium	AUD 0.03	-56.1%	93.3%	0.010
African Energy	AUD 0.69	-34.4%	970.3%	0.204
Toro Energy	AUD 0.10	-44.4%	56.3%	0.096
NWT Uranium	CAD 0.16	-38.0%	0.0%	0.021
Apollo Minerals	AUD 0.08	-56.8%	9.6%	0.013
Forum Uranium	CAD 0.20	-61.5%	185.7%	0.026
Wealth Minerals	CAD 0.85	-36.6%	240.0%	0.043
Alara Resources	AUD 0.30	-41.2%	275.0%	0.038
Uracan Resources	CAD 0.20	-50.0%	100.0%	0.027
Niger Uranium	GBP 0.07	-30.0%	95.8%	0.013
Purepoint Uranium	CAD 0.29	-61.5%	307.1%	0.023
Nortec Ventures	CAD 0.28	-27.6%	205.6%	0.035
Int’l Enexco	CAD 0.29	-32.6%	28.9%	0.007
U3O8 Corp.	CAD 0.77	-41.7%	285.0%	0.062
Silver Spruce	CAD 0.15	-59.7%	262.5%	0.016
Altona Energy	GBP 0.10	-48.8%	34.4%	0.068
Rum Jungle Uranium	AUD 0.50	-27.7%	1078.6%	0.073
Solex Resources	CAD 0.42	-44.7%	281.8%	0.032
Uravan Minerals	CAD 0.30	-30.2%	140.0%	0.013
Oklo Uranium	AUD 0.05	-60.0%	53.3%	0.007
Macusani Yellowcake	CAD 0.55	-55.3%	254.8%	0.046
Nimrodel	AUD 0.09	-15.0%	596.7%	0.014
Contl. Precious Minerals	CAD 0.46	-55.8%	24.3%	0.024
Blue Sky Uranium	CAD 0.18	-79.9%	9.4%	0.014
Aura Energy	AUD 0.34	-39.3%	189.1%	0.045
Empire Resources	AUD 0.09	-43.8%	143.2%	0.011
Marmota Energy	AUD 0.09	-25.8%	50.8%	0.014
Int’l Montoro	CAD 0.09	-52.8%	183.3%	0.005
Uran	AUD 0.03	-40.5%	92.3%	0.007
Alberta Star	CAD 0.56	-21.1%	67.2%	0.012
East Asia Minerals	CAD 5.75	-34.1%	19.8%	0.444
Black Range Minerals	AUD 0.05	-45.1%	127.3%	0.032
Fronteer	CAD 14.55	-0.7%	327.9%	2.256
Portal Resources	CAD 0.20	-27.3%	150.0%	0.008
Eso Uranium	CAD 0.09	-50.0%	100.0%	0.010
Bearclaw Capital	CAD 0.08	-25.0%	50.0%	0.002
Forte Energy	AUD 0.10	-44.1%	37.7%	0.064
Mineral Commodities	AUD 0.10	-20.0%	270.4%	0.015
Mindax	AUD 0.40	-20.0%	14.3%	0.059
North American Gem	CAD 0.09	-56.1%	5.9%	0.016
Developer averages/total		-39.5%	149.4%	15.139
Weighted averages		-29.3%	102.9%
Overall averages/total		-39.2%	144.4%	37.126
Overall weighted averages		-34.0%	65.6%
Diversifieds with uranium
Areva	EUR 31.81	-20.5%	4.8%	15.235
Rio Tinto	GBP 39.94	-15.3%	45.2%	132.356
BHP Billiton	GBP 22.96	-13.3%	36.8%	231.051
AngloGold Ashanti	USD 46.69	-11.7%	29.6%	17.798
Equinox	CAD 5.02	-27.7%	63.5%	4.522
* 12-month

Source: market data; table compiled by Barry Sergeant

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Sharp setback this month copper prices have weighed on exchange-traded products in the metal industry, as well as tracking stock fund material and Chile.

The iPath Dow Jones-UBS Copper Subindex Total Return ETN (JJC 56.12, +0.50, +0.90%) lost about 6% last week and traded below $55 a share, down from its recent high of $61.69. The exchange-traded note has a market capitalization of about $264 million and is designed to reflect the performance of copper-futures prices.

The red metal’s slump is a worrying sign for stock bulls and the global recovery because copper is seen as a leading economic indicator.

“There is an old saying that every stock bull market has a copper top,” Stock Trader’s Almanac said in a note last week.

“While not entirely true, as a key industrial material and benchmark of economic growth, copper tops have coincided with stock bull market tops on enough occasions to warrant concern,” the report added.

PowerShares DB Base Metals Fund (DBB 23.92, +0.07, +0.29%) has also been under pressure this month although copper is the biggest loser among the base metals.

Copper is set to absorb its biggest decline since June 2010 “on high energy prices and concerns of a slowdown in China,” Dahlman Rose & Co. said in a March 11 market update.

A separate report last week showed copper imports by China plunged 35% in February to the lowest level in more than two years.

Not surprisingly, ETFs that invest in copper miners such as First Trust ISE Global Copper Index Fund (CU 40.15, +0.74, +1.88%) and Global X Copper Miners ETF (COPX 18.02, +0.34, +1.92%) have lost ground.

The weakness in copper prices has also spilled over into exchange-traded funds that target materials stocks.

The largest sector ETF for the group by assets is Materials Select Sector SPDR Fund (XLB 37.91, +0.56, +1.49%) with $2.5 billion in assets. The fund lost roughly 3% last week and is the only ETF among the 10 Select Sector SPDRs that is in negative territory for 2011.

The materials ETF’s tracking index is comprised of companies from subsectors including chemicals, construction materials, containers and packaging, metals and mining, and paper and forest products.

Falling copper prices have hurt some of the fund’s top positions. For example, copper-mining giant Freeport-McMoRan Copper & Gold Inc. (FCX 49.48, +1.69, +3.54%) is the second-largest holding at 10.8% of assets, while Newmont Mining Corp. (NEM 52.12, +0.78, +1.52%) accounts for 6.1% of the portfolio. Both stocks are off more than 10% so far this year.

Other materials ETFs include iShares Dow Jones U.S. Basic Materials Sector Index Fund (IYM 76.50, +1.10, +1.46%) , Vanguard Materials ETF (VAW 82.09, +1.04, +1.29%) and First Trust Materials AlphaDEX Fund (FXZ 24.01, +0.34, +1.44%) .

Sagging copper prices have also pulled down iShares MSCI Chile Investable Market Index Fund (ECH 67.31, +0.08, +0.12%) , which has been a top performer among emerging-markets ETFs the past two years. Chile is the world’s largest copper exporter.

The Chilean ETF has dropped about 16% so far this year to fall below its 200-day moving average, a closely watched technical indictor.

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