Vancouver Stock Exhange Calpine continues to climb

With the Christmas season drawing near, market activity on the VSE has dropped off considerably. The expected seasonal decline and some tax-loss selling impacted on the VSE Index which was off 2.35 points to 774.95, with 132 advancers, 137 decliners and 344 issues unchanged. But brokers say a few bargain hunters are still buying on the seasonal lows, particularly issues expected to be active on good properties next season.

There was still plenty of interest and trading activity in Calpine Resources which at press time was up a further 8 to $2.58. Fire assay results from the first drill hole of the second phase program at Eskay Creek were released, and include intercepts of 157.4 ft grading 0.163 oz gold and 0.20 oz silver, including 34.4 ft of 0.42 oz gold and 0.62 oz silver. Consolidated Silver Butte Mines, which has a property immediately adjacent to Calpine’s, was ahead 12 to 52 * Adrian Resources, a Prime Capital company active on a recently-acquired property surrounding the northern portion of the Eskay Creek project, gained 6 to 45 *

War Eagle Mining dropped a further 21 to $1 over our report period. The company has resumed drilling on its Idaho gold property. There is still some interest in Vananda Gold which gained 31 to $1.28. The company has teamed up with Freeport McMoRan, a large US mining concern, to explore for gold on a Texada Island property which hosts several former open pit copper producers. Echo Bay is also active on this island near Vancouver.

Cove Resources posted a gain of 17 to 80 * The company, along with several associated companies acting as a syndicate, recently signed a letter of intent with Granges Exploration to explore and develop the syndicate’s extensive 100,000 plus acres in northwestern B.C. Granges is to spend $3 million on the holdings which adjoin the Newhawk/Granduc project to the south and the Calpine property to the north. Cove also has an interesting property hosting a former high grade gold producer near Nelson, B.C. Recent assays were impressive and include 20 ft of 0.495 oz and 21 ft of 0.5 oz gold per ton.