Trading Summary (May 31, 2004)

The Toronto Stock Exchanged started the week off with a 70.24-point gain to make 8,417.32 points as all subindices ending in the black. The gold sector was among the leaders with a 2.52-point rise to 207.65. The diversified miners managed to grab 0.86 of appoint to reach 220.50.

Wheaton River Minerals was the nation’s second-busiest issue with only about 2.1 million shares making their way 6 higher to $4.02. On Monday, Reuters reported that a source close to the company said that Wheaton would respond to Idaho-based silver producer Coeur d’Alene Mines’ unsolicited advances after the market close on May 31. Many analysts expect Wheaton’s board to reject the bid.

Market watchers also expect Iamgold to reject a similar bid from Golden Star Resources. Both bids were priced higher than those under the proposed friendly merger of Wheaton and Iamgold. That deal would have seen Wheaton River shareholders get 0.55 of a share of Iamgold for each share of Wheaton. (The new company would carry the name Axiom Gold.) Shares in Iamgold were 7 higher at $7.74. For their part, Golden Stars shares were off 2 pennies at $6.74.

Shares in uranium giant Cameco slipped $1.05 to $70.35 after the company said that its US$333-million plan to acquire American Electric Power‘s (AEP-N) 25.2% stake in the two 1,250-MW nuclear reactors that comprise the South Texas project will likely fall through. Two current co-owners, Texas Genco and the San Antonio City Public Service Board, plan to exercise their rights of first refusal on AEP’s stake.

Shares in Atna Resources soared 6, or nearly 18%, to 40 after the company said that it has agreed to sell its 39.4% stake in the Wolverine massive-sulphide project in the Yukon to partner Vancouver-listed Expatriate Resources for $2 million in cash plus 10 million Expatriate units. Each unit includes one share and half a purchase warrant, with a full warrant good for one share at 32 per share for two years. Atna will retain a net proceeds royalty (of between 4-10%, based on silver prices) on silver and gold sales. At last report, Wolverine contained an inferred resource of 6.2 million tonnes grading 12.6% zinc, 1.8 grams gold and 371 grams silver per tonne, 1.3% copper, and 1.5% lead.

Among the base metal crowd, Noranda finished a nickel higher at $22.45. The company recently inked workers at its CCR copper refinery in Montreal-East to a new three-year collective agreement. The new agreement runs until May 30, 2007, and includes an hourly wage increase of 55 in the first year, followed by then 50 in each of the subsequent years.