Alberta Stock Exchange Cdn. Gold up on deal

Volume leader, Canadian Gold Resources continued to advance, adding another 20 cents to $2.10. Gold intersections reported from the company’s Dik-Dik property near Geraldton, Ont., were encouraging, although the majority were uneconomic. One of the better holes from a sulphide zone assayed 0.397 oz gold per ton across 3.5 ft.

Canadian Gold has also raised $500,000 from a private placement of flow-through shares. Another $500,000 has come from Colray Resources, which will fund work on two properties near Kirkland Lake, Ont. Colray added a dime to 65 cents .

A majority of the trading in Shabu Gold Mines, which took place over two days last week was short covering, a major Toronto broker says. The issue opened up briefly at $2.25-$3.60 before being halted for a second time. The issue soared to a high of $12.75 before crashing back to reality in early April. Initial drill results from the company’s gold play east of Red Lake, Ont., were geologically interesting but far from economic. At presstime the trading halt was still in effect.

Goldhunter Explorations continued to advance, adding another 4 cents to 99 cents . Goldhunter is busy with exploration of a gold property near Kirkland Lake, Ont. Gunnar Gold, which is funding Goldhunter’s work at Kirkland, gave up 35 cents to $2.20. Gunnar made market gains last week on news of a property acquisition which adjoins the Getty-Noranda Tundra gold deposit property in the N.W.T.

Bay Resources and Services moved to a new high of $2.55 — a 35 cents gain for the week. Bay, which will be merged with affiliate company St Genevieve Resources, has signed a deal with another affiliate private company, Stratmin Inc. Stratmin will have the right to earn a 37.5% interest in Bay’s Fontana gold prospect in Duverny Twp., Que. The private firm must spend $4 million on exploration in order to earn its interest.