Montreal Stock Exchange New VSM zone

News of a new zone discovery at the Grevet zinc property near Matagami, Que., helped propel the shares of VSM Exploration to $1.20, a gain of 35 cents, on a volume of more than 500,000 shares, for the week ended June 5. VSM is exploring the project in partnership with Serem-Quebec. VSM President Mario Caron says discovery of the new zone reinforces the belief a new mining camp is in the making. Copper and silver values have also been assayed in the drill core.

For the week, the market reported mixed results. The general market portfolio index jumped almost 26 points, while the mining and minerals index was down almost 25 points. Daily trading volumes were steady, ranging between 5.3 million and 6.7 million shares.

Ressources Val D’or says it has signed an exploration agreement with Noranda Mines covering property adjacent to the Bardome zinc project in Barraute and Fiedmont twps., in which Val D’or is acquiring a 100% interest. Val D’or, which gained 1 cents to 10 cents on more than 740,000 shares, must spend $500,000 by March 1, 1993, to acquire a 50% interest in the adjacent Noranda claims.

Replacing Placer Dome as the joint venture partner of Golden Star Resources in the Omai gold project in Guyana, South America, is Cambior. The Val d’Or, Que. -based producer may earn a 60% interest in the project. Trading 9,400 shares, Golden Star dropped 24 cents to $1.25. Cambior traded 135,300 shares and fell $1.38 to $12.50. Placer Dome, which has been in the news of late over the Eskay Creek gold project in British Columbia, was down $1.38 to $17.88 on a volume of 360,400 shares.

Other news from Cambior, which is slowly becoming active on the international scene, included a production decision for its wholly owned Mouska gold project, 25 miles east of Rouyn-Noranda, Que. Commercial production is expected to begin in June, 1991.

Returning to the Matagami area, a small drilling program is under way on property in Grevet Twp. owned by Orient Resources. Orient, which moved up 3 cents to 21 cents on 37,100 shares, has optioned the property to the VSM-Serem partnership, which may earn a 60% interest in the project by undertaking exploration work.