Montreal Exchange (August 01, 1988)

Orex drilling results

Not a good week for resource issues, the mining and minerals index on the Montreal Exchange tumbled by more than 93 pts during our report period. (The general market portfolio index fell by more than 26 pts.) Daily trading volumes continued to be light, in the 4.1-5.6 million share range, although it was an improvement on the previous week.

One of the volume leaders was Orex Exploration of Rouyn-Noranda, which released encouraging results from a drilling program at the Goldboro gold property in Nova Scotia. Orex, which gained 39 cents to $1.42 on a volume of 445,400, is earning a 50% interest in the property from TSE-listed Onitap Resources.

Announcing the discovery of two new platinum, palladium and gold- bearing, massive sulphide, copper- nickel deposits on one of its properties in northern Quebec was La Fosse Platinum, which slipped 1 cents to 80 cents on 25,300 shares.

Rouyn Mining Resources and Lac Minerals are gearing up for their first gold pour Oct 15 from the Francoeur project in northwestern Quebec. Ore is being stockpiled in anticipation of that day. Rouyn was down 19 cents on the week to $3.40 with 5,100 shares changing hands, while Lac lost 50 cents to $14 on 130,500 shares.

Drilling a second hole, to a vertical depth of 6,175 ft, at the Paymaster property in Timmins and announcing encouraging results from the core sample were American Reserve Mining and TSE-listed Associated Porcupine Mines. American Reserve, trading 130,300 shares, jumped 41 cents to $2.75. The hole was drilled to a point 150 ft below the bottom level of the closed-down gold mine.

Belmoral Mines, which dropped 14 cents to $2.10 on 40,500 shares, and TSE-listed Vedron Ltd. report a ramp has been completed at Vedron property at Timmins, Ont., to 650 ft (vertical), which is about 150 ft deeper than originally planned. The companies are hoping to be in a position soon to confirm reserves in advance of a production decision.