Silver reseller Silver Wheaton will "aggressively" pursue new silver contracts this year, and hopes to clinch more than double the three deals that it inked in 2007, president and CEO Peter Barnes said on Friday.

He said that global credit tightness meant that smaller mining companies were finding it “almost impossible” to raise debt finance, which made deals offered by resellers like Silver Wheaton increasingly attractive, as junior and mid-tier miners seek funds for expansions.

On the other end of the scale, large producers of gold (which is often mined with silver) would be more likely to partner the company, now that its “big brother”, gold-miner Goldcorp, had sold its remaining 48% stake in the company, Barnes pointed out.

Gold miners may have been hesitant in the past to enter into an agreement that could benefit a rival.

“It certainly might increase the number of potential opportunities for us,” Barnes said on a conference call with investors.

Silver Wheaton buys silver from producers on a long-term basis, at predetermined prices, and then sells the metal at the current spot price.

Spot silver touched a 27-year high above $17/oz on Friday, several ballparks away from the $3,90/oz at which the company buys its metal.

The Goldcorp sale also removed a significant overhang, which would make it easier for the company to raise money, Barnes said.

However, the company would only consider a share sale to fund a deal that would add value to existing shareholders.

"Our focus is on getting the right deals...and we are confident that we can finance them," he said, in response to investor concern that the Goldcorp sale may lower the company's chances of a successful equity financing.

'SIGNIFICANT APPETITE'

Goldcorp, Canada's second-biggest gold-miner after world number-one Barrick Gold, announced on Thursday evening that it would sell its 48% stake for about C$1,56-billion.

The shares were sold within two hours of the announcement, and the offering was oversubscribed, Barnes said.

This indicated a "significant amount of appetite for Silver Wheaton shares out there".

The announcement followed a week of speculation, during which Silver Wheaton shares fell from a close of C$16,89 a share on Monday to C$15,47 when they were halted on Thursday afternoon, after Canada's Financial Post reported on Tuesday that Goldcorp was planning to offload its shares.

Silver Wheaton's stock was down a further 3,1% on Friday morning, after trade resumed, at C$14,99 a share, by 9:39 in Toronto.

Goldcorp has appointed a syndicate of underwriters, led by Macquarie Capital Markets Canada, Genuity Capital Markets and GMP Securities, who have agreed to buy 108-million Silver Wheaton shares, at C$14,50 a share.

The gold-miner will raise C$1,56-billion in the sale.

Goldcorp shares rose 2,49% in early Toronto trade on Friday, to C$38,27 a share by 9:52 EST.

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