MINING MARKETS & INVESTMENT NEWS – WESTERN MARKETS — Western markets spooked by economic slowdown

The Vancouver Stock Exchange composite index tumbled below the 500-level during the report period ended July 28 to close at 488.97, down 22.54 points, or 4.4%. The mining index was off 5.3%, losing 19.23 points to finish at 346.38. The combined value of the Alberta Stock Exchange closed below the 2,000 level at 1,993.3, shedding 75.93 points, or 3.7%.

In what is becoming a weekly occurrence, Winspear Resources was the VSE’s most active issue. Winspear has been subject to price swings as it gears up to begin delineation drilling on the NW Snap Lake kimberlite dyke at the Camsell Lake property in the Northwest Territories. The company, which saw its stock fall 23 cents to finish at $1.31, is increasing its interest in the project to 68%. Aber Resources holds the balance.

Players in the South Voisey’s camp continued to feel the fallout from the lack of positive drill results. Donner Minerals shed a further 28 cents to close at 61 cents; Alberta-listed Northern Abitibi Mining dropped 9 cents to a quarter; Cypress Minerals was off a nickel at 20 cents; and Major General Resources, despite having signed an agreement with McWatters Mining to advance the Hammerdown gold project in Newfoundland, slipped 5 cents to 31 cents.

Madison Enterprises closed up 38 cents to $1.60. The company closed a brokered $10-million financing, proceeds of which are being used to advance its 65%-owned Mt. Kare gold property in Papua New Guinea. An independent preliminary resource estimate is being prepared.

Condor International Resources was up a nickel at 15 cents. The junior, in partnership with Caledonia Mining, plans to drill-test a coinciding geophysical and indicator mineral anomaly at the Kikerk Lake project in the Territories.

Alberta-listed Golden Kootenay Re-sources slipped a penny in heavy trading to close at 4 cents. The company recently drilled three holes at its Buffalo Hills diamond

project, near Manning in west-central Alberta. Two of the holes are said to have intercepted bedrock at depth, with one returning “fine-grained, crystalline particles (tan and light green) mixed with the

black shale cuttings.” Laboratory results have yet to be reported.

Alliance Pacific Gold has proposed a rollback of one new share for 15 existing shares, as well as a name-change to Alliance International Resources. The company recently walked away from the Mainit gold project on the Philippine island of Luzon. Alliance dropped to 5 cents, for a loss of 4 cents.