Vancouver Stock Exchange (July 29, 1991)

Activity on the Vancouver Stock Exchange remained lacklustre over the week ended July 23 with daily volume relatively quiet at the 14-million-share level.

The release of assays results from a number of exploration plays did little to help the market.

The composite index slipped about four points over the period to close at the 556 level. The resources index fared much worse, dropping over 15 points to finish at 539.66.

The much-awaited results from drilling on the SIB claims in the Eskay Creek area of northwestern British Columbia proved disappointing for shareholders of joint venture partners Silver Butte Resources and American Fibre. The companies released a number of narrow intersections grading between 0.01 and 0.09 oz. gold per ton with the best hole cutting 9.8 ft. grading 0.24 oz. gold and 55 oz. silver. The drilling was designed to follow up the last hole of the 1990 drilling program which intersected 46.9 ft. grading 0.42 oz. gold and 30.9 oz. silver.

Already off from their highs at the $1.40 level before drilling started, both companies reacted poorly to the assay results. American Fibre finished the period down 27 cents at 75 cents while Silver Butte dropped 33 cents to close at 55 cents.

Fairbanks Gold announced that it is in exclusive takeover negotiations with a major mining company, but the market remained un-phased, bidding the stock down an eight to $7.75.

Following the release of mixed drilling results from the Spectrum property in northwestern British Columbia, partners Columbia Gold Mines and Eurus Resource announced the intersection of coarse-grained visible gold over a 15-ft. interval in a stepout hole 200 ft. northeast of previous drilling. The news gave Columbia a boost to 89 cents, up from a low of 62 cents. Eurus was little-changed over the week, however, finishing up three cents at $1.60. War Eagle Mining did well over the reporting period, adding 31 cents to close at $1.60. The company recently announced the acquisition of a 100% interest in the La Blanca property in Mexico. The company believes the property has the potential to host a large heap leachable gold-silver reserve. Additional drilling results from the Blende property in the central Yukon did not help NDU Resources. The issue closed the period off 30 cents at $1.10. At the end of 1990, NDU and its partner Billiton Metals had outlined a preliminary reserve of about 12.6 million tons grading 5.2% combined lead-zinc. The recent results included a number of wide intersections grading about 4% combined lead-zinc.

The release of a number of high-grade gold assays from drilling on the Polaris-Taku property in northern British Columbia did not seem to help Suntac Minerals. The drilling included a 13.2-2Dft. intersection grading 0.86 oz. gold and a 14.2-ft. intersection grading 0.84 oz. gold. Suntac remained unchanged over the period at 35 cents. The company is earning a 60% interest in the property from Alberta-based Rembrandt Gold.