Thursday, technical selling and diminishing safe-haven demand emerged as unshakable sources of pressure for silver, which snapped its string of gains and experienced a sub-$32 drop.
COMEX March silver ended the US day session $0.72 in the red, at $31.72. New York spot prices fell $0.61, to $31.62.
Company newsSilvercorp Metals (TSX:SVM,NYSE:SVM) stated that it is aware that class-action lawsuits have been filed against it. Based on allegations made on the website AlfredLittle.com, the lawsuits essentially accuse the company of fraud by way of misrepresenting information about ore grades and financial details. These accusations, in Silvercorp's opinion, have been proven false by a forensic report, an Ernst & Young audit and updated technical reports that were reviewed by regulatory authorities. Prospero Silver (TSXV:PSL) signed option agreements that enable it to earn 100 percent of two additional claims — Sucara and Dos Amigos — within the Northern Cebollas target area of the Baborigame district in Mexico. With these agreements, the district "is essentially 100% controlled and covers all exploration targets identified in the project area," the company stated in a press release. Prospero and its joint venture partner, Minera Hochschild Mexico, are preparing Baborigame for drilling. The two additional claims will be integrated and funded under the terms of that partnership. El Tigre Silver (TSXV:ELS,OTCQX:EGRTF) started drilling at its El Tigre silver-gold property in Sonora, Mexico. The 2013 exploration program anticipates drilling 5,000 meters of core in 30 to 40 holes. Assay results from the first phase, which will be 2,700 meters, are expected by the end of March. The company said it will concurrently be working to update its NI 43-101 technical report "to include the first reported gold and silver resource based on this phase of the drill program and the 2011 and 2012 programs." Southern Silver Exploration's (TSXV:SSV) board of directors approved an advance-notice policy for director nominations in hopes of providing a clear framework for the process.