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I was quite surprised to see Silvercorp up so much today without any news. The only thing that I could find today that was new was this article by an independent research site with an interview with Cathy Fong of Silvercorp Investor Relations.

This is what she had to say:

As China is seen to be relaxing regulatory measures, creating a more encouraging environment for exploration companies to enter the market, the wonder is whether or not this will lead mining companies into expanding their operations. Expressing his thoughts on the matter Turner implied that, “China certainly is thought to have large gold reserves, though I imagine the big mining companies will remain reluctant to commit there and will concentrate on more established foreign countries for expansion, until they are convinced it is going to be a success.”

Commenting on the latest pattern of mergers and acquisitions in the mining sector, Michael Turner said, “the takeover of Placer Dome by Barrick is likely to lead to a new wave of mergers and acquisitions. Many companies seem happier expanding in this way than through new mining development. There is also some desire to be the, “no. 1 producer.”

Offering further insight on this side of the world, Cathy Fong, Vice President of Corporate Development for Silvercorp Metals Inc. (TSX: SVM) commented that overall, “we see that China is very progressive in their business dealings and that their policy is very pro-business. That is so inviting for foreign companies right now and we would definitely like to expand, not only in silver mines but in other mining opportunities as well.” When asked how the company views their involvement in the country, Fong replied, “our focus in China involves knowing the culture (including the business culture) and understanding the geology and how to operate in the country as a mining producer.”

Beyond the issue of mergers and acquisitions however, lies the supply demand issue, which still remains questionable as to whether the supply issue will be helped along over the coming years. As we see the market shift, companies moving to consolidate, the question remains, does this mean they are doing anything about the supply problem and how will it be improved over the long term? With so many priorities on the agenda, in solving the puzzle to remain strong amidst global competition, just how much forethought is being put into the future of precious metals reserves?

But I'm not complaining! Silvercorp keeps chugging along and today's rise gives me more than a 100% return!

There was a lot of other good news.

Paladin Resources, a great uranium play, hit a new 52 week high today closing at $3.42.

Nova Uranium announced that they would begin drilling of their Nova B property. Nothing new but let's hope for some great results.

Playfair Mining is pleased to announce it has arranged, subject to TSX approval, a non-brokered private placement for gross proceeds of up to $4,017,500. Playfair will issue up to 2,650,000 flow through common shares at a price of $0.95 per share and up to 1,875,000 common shares at a price of $0.80 per share. A finders fee may be payable in accordance with TSX policy.

Proceeds will be used for exploration, property acquisition and working capital purposes.

I told you about this last week. This news isn't good in the short term but in the long term it is good because now Playfair has enough money for a while to begin drilling and exploring all their properties.

Investor Relations told me this is just the beginning of "a bunch of news" so the news to come should be better for the stock price than financing.

Next up, Sherwood Copper was up more than 8% on their "Intersecting High Grade Copper-Gold at Minto Project, Yukon".

As announced December 19, 2005, additional drilling was proposed for the northern third of the Minto deposit in order to more accurately define the gold grades in this portion of the deposit. The remaining two-thirds of the deposit was drilled in 2005 and demonstrated higher gold grades than prior resource estimates due to a lack of gold assays and under-reporting of gold grades in the 1970's drilling. Before commencement of this program, Sherwood had anticipated that gold grades could increase 15-20% above those announced February 7, 2006.

This drill program is now completed, totalling 4,128.5 metres in 25 holes: nineteen holes for assay and one hole for grinding test material were drilled within the resource area. The latter hole cannot be assayed due to the destructive nature of the tests. The remaining five holes tested two exploration targets; two holes on a low priority but limited seasonal access target and three holes on a higher priority target near the south end of the planned open pit mine. Final assay results are pending for four holes from the resource area and four exploration holes.

Holes, 06SWC-061, -062, -063, -065 & -066 were drilled into the higher-grade, bornite-rich portion of the deposit (see map at http://www.ccnmatthews.com/docs/SWC0320.pdf for hole locations). Results for holes 05SWC-061, -065 and -066 showed better than expected thicknesses and grades when compared to the weighted average for a minimum of 4 previous holes immediately adjacent to the new holes. Hole 06SWC-062 returned a thinner intercept than expected, but better grades, while 06SWC-063 (located on the NW limit of the deposit) returned approximately the anticipated thickness but significantly lower grade - a not particularly surprising result given the proximity to the interpreted margin of the deposit.

Exploration Drilling

Hole 06SWC-060 was drilled to test a magnetic anomaly approximately 600m west of the main Minto deposit. The target was a low priority geophysical target which did not have supporting geological or geochemical backup and was drilled ahead of more compelling targets because access to the anomaly area is limited to winter time only. Hole 06SWC-060 returned some geochemically anomalous copper values, but no economically significant mineralized intersections and does not warrant further work. Results for the four remaining exploration holes should be available within the next two weeks.

Outlook

All remaining assays for the infill drill program re expected to be available within approximately one week, in time to be incorporated into an updated resource model in the pending feasibility study. Sherwood is considering another round of infill drilling in late April and May to further define and upgrade the high-grade bornite-rich core area of the resource post-feasibility study but pre-production to assist in mine plan optimization.

Upon completion of the current feasibility study, Sherwood will focus on exploration in areas both north and south of the planned open pit mine, as well as the possible gold-focussed program within the current resource limits noted above.

Minto Project

The Minto Project is a high-grade copper-gold deposit located in the Yukon Territory of Canada. In the late 1990's, a feasibility study was completed by prior owners, permits obtained and construction of an open pit mine commenced. Construction was suspended after expenditures of approximately $10 million, due to depressed copper prices. During that period, the mill foundations were poured, the ball and SAG mills were purchased and moved to site, the mine accommodations were constructed and the site was connected to a permitted Yukon River crossing by a 29km production standard access road. All of this infrastructure has been well maintained and would be available for future operations. Sherwood recently commenced mobilization of a mining contractor to site to begin waste stripping, and it has also selected its preferred EPCM and general contractors for the construction of a mining operation at Minto.

Sherwood

Sherwood's successful consolidation of the ownership of the Minto Project provides a unique investment opportunity - participation in an already permitted, partially constructed, high-grade, open pit copper-gold project located in Canada with infrastructure and exploration potential on the property.

Well that's about it for an extremely busy but profitable day!