CDNX sinks in stormy seas

The Canadian Venture Exchange index sank 124.24 points, or 3.6%, to close at 3,315.33 for the report period ended May 23. Only the oil and gas index managed to stay afloat, posting modest gains, while the technology index fell to its lowest depth of the year. The mining index attempted to tread water for most of the week but finally fell victim to the markets’ strong undertow, sinking 71.67 points, or 1.8%, to close at 3,938.71.

JNR Resources took top spot as the most actively traded mining-related issue for the second straight week, gaining 1 to close at 26 with just under 2.3 million shares changing hands. After completing five drill holes on the Moore Lake joint venture with Kennecott Canada in Saskatchewan’s prolific Athabasca Basin, the Dale Hoffman-led company temporarily suspended drilling. The junior wants to run additional geophysical surveys over the property and see the assay results from this round of drilling before spotting the next hole. Shares in the uranium explorer surged to a new 52-week high last week on news that hole 3 had cut 10.4 metres of unconformity-style uranium mineralization.

Adulis Minerals, formerly Marchmont Gold, ended the week at 27, up 20. Investors bid up the company’s stock on news that exploration of its prospective properties in Eritrea, Africa, is progressing well. Initial work includes geochemical sampling and geological mapping, to be followed by a diamond drill program later in the year. The junior intends to issue a comprehensive news release on the results by the end of May.

Darnley Bay Resources plunged 45, or 17.6%, to end the week at $2.10. The company is drilling deep-seated coincidental gravity and magnetic anomalies on the Thrasher zone, near Paulatuk, N.W.T. Darnley Bay believes the anomalies represent a metallic-rich intrusive. The hole is expected to hit its target depth of 1 km by early June.

Harry Barr’s Pacific North West Capital drifted back 27 to $1.43 while investors awaited a second round of drilling on the River Valley platinum group metals discovery, northeast of Sudbury, Ont. Since announcing that all 13 holes from the first round of drilling at the Dana Lake prospect cut low-grade platinum-palladium over encouraging widths, shares in the company have plunged from a 52-week high of $4.15. South Africa’s Anglo American Platinum can earn up to a 65% interest in the project.

East West Resources got a boost after announcing it had optioned its half-interest in 180 mineral claims south of the Lac des les platinum-palladium mine in Ontario. New Millennium Metals can earn a half-interest in the property from equal-owners Maple Minerals and East West by paying $38,500 in cash over three years and spending $1 million over five years. The property covers a 6.5-km-long gabbro-ultramafic zone that extends south from the palladium mine. New Millennium ended the week flat at 51, while East West tacked on 6 to close at 30.