TORONTO, Oct 7 (Reuters) - Ventana Gold, a Toronto-listed explorer whose stock has risen 22-fold this year, said on Wednesday that its top shareholder -- a fund controlled by Brazilian billionaire Eike Batista -- had boosted its stake in the company to 17.5 percent from 12.3 percent.
Ventana's shares have been on a tear since December 2008 as strong drill results from its La Bodega property in Colombia have persuaded investors and some analysts that the company may be on to the best gold discovery in years.
Most recently, the stock rose 32.5 percent on Monday after it reported a 84-metre-long drill sample averaging a high-grade 13.66 grams per tonne of gold. It estimated the gold intercept at 42 metres wide.
63X Master Fund, which Batista controls through his EBX conglomerate, acquired a 10.2 percent shareholding in July, and has since raised its stake twice more.
In a statement, the fund said the acquisition was made for investment purposes only, and said that it may continue to increase its investment.
The company's stock, which ended 2008 at 36 Canadian cents, touched a record intraday high of C$9.70 on Tuesday.
It fell 1.6 percent to C$8.36 on the Toronto Stock Exchange on Wednesday.
Gold, meanwhile, hit a record high above $1,040 an ounce during the session.
Analyst Michael Fowler of Loewen, Ondaatje, McCutcheon said in a research note on Wednesday that the most recent drill result was one of the best intersections seen in recent years.
He has a C$7.00 target on the stock -- since surpassed -- which he bases on the possibility of delineating a gold resource of 10 million ounces at the property.
($1=$1.06 Canadian)
(Reporting by Cameron French; editing by Peter Galloway) Keywords: VENTANAGOLD/ (cameron.french@thomsonreuters.com; 416-941-8199: Reuters Messaging: cameron.french.reuters.com@reuters.net) COPYRIGHT Copyright Thomson Reuters 2009. All rights reserved. The copying, republication or redistribution of Reuters News Content, including by framing or similar means, is expressly prohibited without the prior written consent of Thomson Reuters.
Ventana's shares have been on a tear since December 2008 as strong drill results from its La Bodega property in Colombia have persuaded investors and some analysts that the company may be on to the best gold discovery in years.
Most recently, the stock rose 32.5 percent on Monday after it reported a 84-metre-long drill sample averaging a high-grade 13.66 grams per tonne of gold. It estimated the gold intercept at 42 metres wide.
63X Master Fund, which Batista controls through his EBX conglomerate, acquired a 10.2 percent shareholding in July, and has since raised its stake twice more.
In a statement, the fund said the acquisition was made for investment purposes only, and said that it may continue to increase its investment.
The company's stock, which ended 2008 at 36 Canadian cents, touched a record intraday high of C$9.70 on Tuesday.
It fell 1.6 percent to C$8.36 on the Toronto Stock Exchange on Wednesday.
Gold, meanwhile, hit a record high above $1,040 an ounce during the session.
Analyst Michael Fowler of Loewen, Ondaatje, McCutcheon said in a research note on Wednesday that the most recent drill result was one of the best intersections seen in recent years.
He has a C$7.00 target on the stock -- since surpassed -- which he bases on the possibility of delineating a gold resource of 10 million ounces at the property.
($1=$1.06 Canadian)
(Reporting by Cameron French; editing by Peter Galloway) Keywords: VENTANAGOLD/ (cameron.french@thomsonreuters.com; 416-941-8199: Reuters Messaging: cameron.french.reuters.com@reuters.net) COPYRIGHT Copyright Thomson Reuters 2009. All rights reserved. The copying, republication or redistribution of Reuters News Content, including by framing or similar means, is expressly prohibited without the prior written consent of Thomson Reuters.