Alberta Stock Exchange Kingswood leads again

Kingswood Explorations continued to lead the action on the Alberta Stock Exchange trading almost two million shares during the week ended Feb. 27. It came off sharply over that period, losing 20cents to close at 66cents, but was back up 74cents today, Feb. 28. Two weeks ago it was at 57cents. The company’s drilling in Lanoullier Twp. in what is generally called the Casa Berardi area of northwestern Quebec is generating the action on Kingswood. The property is on what’s called the Detour-Matagami break and, although no assays are back yet, drilling has cut some strong alteration zones along an 1,800-metre strike length.

Noranda and Corona are also active in the area and Corona is rumored to have a hot hole nearby, but again, no results are out.

Kingswood is in a good cash position. With flow-through financings in place before the federal budget put an end to CEIP, it has about $1.9 million available for 1990.

Another million-share trader this week was Gateford Resources. It closed up 9 cents at 34 cents on the week.

President Gary Van Nest says he is aware of no single development that would warrant the trading activity, but says investors may become aware of Gateford’s “interesting asset mix.”

Gateford is the largest shareholder in a private company called Canchrome which is studying the possibility of establishing a ferrochrome plant at Becanour, Que., at a cost of about $150 million. It sounds like an ambitious project for a little company, but Gateford has some big names involved including Corona and DCC Equities, the merchant banking firm led by Ned Goodman and company.

Gateford also expects to realize some cash flow from its purchase last fall of a 100% interest in a company that boasts the largest library of drill stem test data in Canada. It sells the data to oil and gas companies.

Naneco Resources traded 273,000 shares this week, slipping 1cents to close at 48cents. It recently received drill results from the first hole on its Baxter Springs property in Nevada. The hole returned 70 ft. grading 0.053 oz. gold per ton.