Alberta Stock Exchange Zahavy moves up (October 05, 1987)

A high grade gold discovery at Zahavy Mines’ wholly-owned Trout Lake property in northwestern Ontario made it the outstanding issue in an otherwise uneventful session.

Trading on a volume of 66,700, it gained 62 1/2 cents to close the day at $5.37. The issue was responding to assay results from a crosscut through the orebody.

They confirm earlier drill results averaging 0.30 oz gold per ton across a true width of 28 ft. Following a $10-million financing, Gordon Keevil and Bruce MacDonald (Noramco Mining Corp.) have joined the Zahavy board of directors.

Pan East Resources was also impressive following news of an expanded evaluation program at the Fifteen Mile Stream gold property in Nova Scotia.

While a healthy number of 432,700 shares changed hands, the issue gained 30 cents to close at $3.65. As reported (N.M., Sept 28/87) a third diamond drill is now at work on the Fifteen Mile property where Petromet Resources and Greenstrike Gold have joined Pan East in exploration and development.

The Louisiana Mining issue also responded well to results of recent bulk leach tests from its Moapa mining project near Glendale, Nev. It gained 5 cents on 58,700 shares to close at $2.25.

After two “shakedown runs” averaging 0.05 oz gold per ton the best assays we re 0.170 oz gold and 2.955 oz silver with 24.7% and 94.9% recoveries respectively.

Sunstar Resources was steady on news that operator Golden Rule Resources has started drilling at the Dubuisson Twp. joint venture prospect west of Val d’Or, Que. Trading on 48,300 shares, the issue remained at 50 cents .

The $350,000 program is designed to follow up an earlier drill hole which cut a 13-ft intersection averaging 0.11 oz gold per ton.

Northquest Ventures lost 12 cents to close at 62 cents on 5,500 despite the discovery of what the company says could be a second and third parallel zone at its Chester Twp. project. Gold mineralization on the property has been partially tested by previous operators.

Montego Resources, a junior capital pool company, was recently listed on the exchange. The company has joined with Canadian Majestic Resources in a share exchange deal to pursue oil and gas acquisitions in Western Canada.