Copper issues lead the way on junior exchange

Vancouver — Canada’s junior exchange finished the trading week ended October 21st on a strong note, with investors eyeing juniors with exposure to the copper market. The S&P-TSX Venture Exchange composite index rocketed 68.5 points, or 4.9%, and closed at 1,461.75.

Amerigo Resources finished the week at $1.60, up 33, with 10.3 million shares traded. Investors recently bid up the stock after the junior reported net earnings after tax of US$537,313 during its second quarter. This is up from a loss of US$45,384 in the year-earlier quarter. In July the company acquired the Chilean MVC copper property. In July and August Amerigo produced and sold 4.72 million pounds of copper at a cash cost of US59 and a total cost of US62 per lb.

With copper prices hitting a three-year high, investors continued to buy shares in Taseko Mines. Back in July, the Hunter Dickinson-led company launched an exploration drilling program over its Gibraltar copper property, near Williams Lake in south-central British Columbia. Taseko ended the week at 75, up 14, with 7.4 million shares crossing the floor.

Spider Resources lost 2 and closed at 14 with 6.9 million shares traded. The junior along with partner KWG Resources have discovered a third zone of massive sulphide mineralization in the latest drill hole (McF03-18). The hole, designed to test geophysical anomalies 1 km southwest of the original McFaulds No. 1 mineralized structure, cut 42 metres of massive sulphides. Assays are pending. KWG closed down 10 to 21 with 1.9 million shares traded.

Investors bid up shares in Sparton Resources. The junior recently reported that kimberlite indicator minerals have been found in till samples taken from its property in the Otish mountains of northern Quebec. Following the news the junior arranged to sell two million units, consisting of a share and a warrant, at a price of $0.43 per unit. Warrants are exercisable at $0.54 for a period of two years. Sparton closed 84, up 9 on 6.9 million shares.

Inca Pacific Resources tacked on 2, closing at 16 with 6.54 million shares traded. The junior is currently drilling the Antoro Sur project in Central Peru where hole 1 returned 38.3 metres grading 1% copper and 0.33 gram gold per tonne and hole 7 yielded 48.5 metres grading 0.67% copper and 0.12 gram gold. Results for another 11 holes are pending.

Continuum Resources tacked on 20 and closed at 65 with 2.65 million shares traded. Earlier this month, Continuum inked a deal to acquire Mexico’s La Calentana gold deposit in a share swap deal valued at about $3.2 million. The deposit, which has been mined on and off since the 1940s, is located in the Mexican state of Guererro, 35 km from the city of Altamirano.

Golden Arch Resources added 3.5 and closed at 17.5 with almost 2.5 million shares traded. The junior is looking to advance the Mildred Peak gold property in Arizona.

NewGuinea Gold closed up 8 to 42 with 2.28 million shares traded. The company recently raised $1.2 million to put towards developing its gold projects in Papua New Guinea. NewGuinea states that two of its gold properties are close to development with initial gold production projected for 2004.