Venture slips slightly in July 30-August 3 period

VANCOUVER — The S&P TSX Venture Composite Index slipped 3.69 points to 1,186.95 points in the July 30 to August 3 period after three days of losses outweighed two days of gains. Volume was up by several million to an average of 62 million shares traded daily, but still well in the lower end of the spectrum.

The Dominican Republic continues to draw attention, with both Goldquest Mining and Unigold trading heavily in the period. Goldquest saw 19 million shares traded as it climbed 60¢ to a closing high of $1.61 after announcing its best hit yet at its new Romero target. Hole LTP93, the third so far released from the area, returned 258 metres grading 4.47 grams gold per tonne and 1.27% copper from 378 metres downhole, and also included a shallower interval of 55.4 metres grading 1.25 grams gold. Unigold, which did not release results but is based fairly close to Goldquest, saw 19.6 million shares traded as it climbed 11¢ to 49¢.

Comstock Metals rallied sharply in the period, climbing 12¢ to 29¢ on 5.5 million shares traded after releasing sampling results from its QV property in Yukon. Results from the sampling program included 16.15 grams gold, 7.71 grams gold, and 3.27 grams gold, all found between 62 and 83 metres southwest of an encouraging trench sample the company released the week before. Trench QVTR12-06 returned 75 metres grading 3.74 grams gold, while a trench further east hit 45 metres averaging 0.85 gram gold.

Barkerville Gold Mines got some renewed traction in the period, climbing 31¢ to end at $1.12 with 4.3 million shares traded. The company garnered significant attention in late June after announcing that its Cow Mountain deposit apparently hosts 10.6 million indicated oz. gold. On news of the estimate the company’s share price briefly doubled to around $1.60, though it never closed higher than $1.22. Barkerville was later forced to caution investors not to rely on the estimate after the BCSC raised concerns over the methodology of the resource, helping send the company’s stock price to as low as 62¢ in mid-July.

Tanzania-focused Canaco Resources got a much-needed boost after announcing that an unnamed Chinese partner will come on board in a joint venture to develop the Magambazi gold project. Canaco is contributing the Handeni property to the JV, which will be valued by a third party, while the Chinese gold company can earn up to 55% by covering all costs until the earn-in is complete. On news of the deal Canaco’s share price climbed 6¢ to end up 5¢ for the period at 40¢ with 9.6 million shares traded, having dropped from around 90¢ after releasing a resource estimate on the project in mid-May.

Reservoir Minerals added 21¢ to its significant July share price climb in the period to end at $1.50. The Cameroon-focused company announced a single drill hit of 266 metres grading 1.23% copper in mid-July, which sent its share price from 65¢ to $1.14 on the day. In the latest period the company announced results from a soil sampling program that showed anomalous gold over an 11-km strike length, sending its share price to a brief high of $1.75 before closing at $1.50.