Trading Summary (August 01, 2002)

The gold index was stood out from the pack on the Toronto Stock Exchange on Thursday posting a 3.23-point or plus-2% gain to 161.96 points. The advance was powered by a rebounding gold, which ended he day US$1.10 per oz. higher at US$304 per oz. in New York. In the end, the S&P/TSX Composite Index lost 54.71 points to finish the day at 6,550.71 points.

Not surprisingly, Canada’s gold miners were well represented on the TSX’s most traded list. Kinross Gold remained the leader of the group gaining 4 to $2.71 with about 8.2 million shares traded. Merger amigo Echo Bay Mines was busy adding a penny to make $1.35 with nearly 1.9 million shares changing hand. The final member of the companies’ three-way merger proposal, TVX Gold, grabbed 21 to reach $5.42 on less than 1 million shares.

Placer Dome, whose sweetened bid was recently rebuffed by Aussie miner AurionGold, found 43 to settle at $13.80. Barrick Gold rose 32 to $24.75.

In the lower ranks, Miramar Mining finished a dime or 9.5% higher at $1.15. On Thursday, Miramar announced that it has launched a $5.2-million, 11,000-metre summer exploration program at the Hope Bay gold project in Nunavut. The company’s affiliate, Sherwood Mining, has recovered more diamond indicator minerals from sampling on the Hope Bay belt. Exploration there continues.

Most of the base metal miners suffered losses mirroring the performance of the metals they mine. Alcan was again at the head of the class with about 1.2 million shares traded. The aluminum giant’s shares fell 4 pennies to $44.35. Inco took second spot falling 30 to $26.70. Swedish-miner Boliden stood out on the metals & mining index gaining a nickel to $4.80.

On the diamond watch, Etruscan Resources and Mountain Lake Resources put in nice gains. Etruscan soared a dime or 13% to 85. Vancouver-listed Mountain Lake gained 8 or 18% to 53. The two report the sale of a package of 1,513 carats worth of diamonds from the Mooi River property in the Republic of South Africa for an average of US$592 per carat, reflecting the gemstone quality of the alluvial diamonds. The sale took place between March and June. Under the terms of a contract mining agreement, Mountain Ash, which is owned 75% by Etruscan and 25% by Mountain Lake, receives a 15% gross royalty from the operations.

Canada’s junior market managed to gain some ground today with the TSX Venture Exchange composite index adding 9.54 points, or 0.93%, to its value. The index closed at 1031.10, on 21.4 million shares.

ECU Silver Mining was the volume leader in the resource field with 1.2 million shares changing hands. The company’s issue remained steady at 6. The company owns the Velardena silver mine in central Mexico. The mine has a resource of 2.4 million tonnes grading 269 grams silver and 2.80 grams gold per tonne.

American Bonanza Gold Mining remained flat at 13 with 506,000 shares traded. The junior recently inked a deal with Mask Resources whereby Mask may acquire up to 49% of American Bonanza’s wholly owned Gold Bar and Pamlico projects, both in Nevada. In order to earn its interest, Mask must make a cash payment of $100,000 and issue 800,000 Mask shares as well as fund exploration expenditures of $3.6 million over a three-year period. American Bonanza retains a 19% back-in right.

International Samuel Exploration closed up a penny to 9 on 250,000 shares. The junior has interests in potential diamond properties in Nunavut – the Jubilee Sceptre and Tiara properties; in Coronation Gulf – the BR Claims; in the Northwest Territiories – Lockhart River and OL Claims; in Quebec – La Croix property.

Antoro Resources also found a penny and finished the day at 47 with 248,000 shares traded. The company completed its Phase 1 exploration program on its Montalembert diamond property, in Quebec. The results should be released in mid-September 2002.