Trading Summary (July 28, 2004)

Toronto stocks pulled out of their recent slide to end Wednesday’s trading session 59.67 points higher at 8,354.04. The energy sector led the way, gaining 1.56% to 176.40, as oil prices hit a 21-year high of $42.90 per barrel. The golds chipped in with a 1.3-point rise to 185.19, while the diversified miners edged 0.19 of a point higher to 213.67.

Metallic Resources ended as the day’s most traded mining issue, with around 5.2 million shares winding their way 5, or 4%, lower to $1.19. The company suspended construction of the Cerro San Pedro heap-leach gold-silver mine in Mexico earlier this summer. The move came after it failed to receive an explosives permit, and could not be assured that its operating licence would be renewed.

Wheaton River Minerals was next in line, adding 11 to make $3.34. Wheaton recently told shareholders to hold on to their shares until the board makes a recommendation on Coeur d’Alene Mines takeover bid. Wheaton says it won’t do that until Coeur’s offer is mailed to shareholders in Canada; the offer has so far been sent only to investors south of the boarder. Wheaton’s second-quarter financial results are due out on Aug. 6.

Barrick Gold took the bronze, falling 60 to $24.70. The gold giant’s second-quarter net income slipped 42% to US$34 million on lower gold sales and higher total cash costs. The results include a US$26-million charge owing to the delivery of 850,000 oz. of hedged gold at prices below spot. Barrick also approved the US$1.5-billion Pascua-Lama project in Chile and Argentina. The mine is expected to churn out up to 775,000 oz. of gold and 30 million oz. of silver annually over its first decade; total cash costs are pegged US$130-US$140 per oz. The first pour is slated for 2009.

Claude Resources put in a nice percentage gain, adding 13, or 11.3%, to hit $1.28. On the minus side were Corona Gold, off a nickel, or 12.5%, to 35, Niocan, 12, or 11%, lower at $1, and First Nickel, which shed 4.5, or 10.1%, to 40. There was no immediate news out of any of the companies.