Alberta Stock Exchange Terragold moves up

Newfoundland exploration company Terragold Resources appeared from nowhere during the week ended Jan. 23 to post a 70 cents increase in its share price.

Recently listed on the Alberta Exchange, Terragold can earn a 50% interest in a couple of Newfoundland properties held by Noranda Minerals. On one of those properties — the Pine Pond on the province’s northern coastline — some narrow veins containing high- grade gold values have been discovered.

“We don’t know the significance of the discovery,” said Will Felderhof, president of Jascan Resources, which holds a 69.5% stake in Terragold. Shares of Terragold closed recently at 75 cents on marginal volumes.

Elsewhere on the Alberta Exchange there was little in the way of significant share price increases as investors wait for further confirmation that a recession is just around the corner.

However, even though Naxos Resources was recently asked to reassay samples from its Shumway Lake gold property near Kamloops, B.C., investors continue to show their support for the Naxos issue. Trading on a substantial 192,200 shares, the issue gained 18 cents before closing at $1.23.

Using fire assay methods, the company has obtained values as high as 0.027 oz. gold and 13.07 oz. silver from sample material extracted from Shumway.

A 15 cents increase in the Stratabound Minerals share price is due largely to the latest drill results from the company’s CNE lead-zinc- silver project near Bathurst, N.B.

Results from a batch of 13 holes suggest that potential reserves could be much higher than the 210,000 tons of grade 7.60% zinc, 2.98% lead and 2.92 oz. silver outlined so far.

The obvious next step for Stratabound is to sign a custom milling deal with any one of the mill owners in the area where Noranda Inc.’s Heath Steel facility would rank as a favored candidate. Negotiations between Noranda and Stratabound are in progress.

Trillion Resources couldn’t have picked a worse time to announce that a prefeasibility study is under way at the company’s 90% owned Sipilou nickel deposit in the Ivory Coast of West Africa.

With nickel trading at around US$2.80 per lb, down from US$7.23 a year ago, progress at the 59 million-ton grading 1.9% lateritic nickel project is unlikely to attract much investor interest. The Trillion issue dropped 2 cents this week to close at 37 cents .