Explorers enter summer lull

TSX VENTURE EXCHANGE

With metal prices remaining strong, the S&P-TSX Venture Composite Index stayed in a narrow range during the report period July 5-11, closing up 2.52 points at 1727.88. Average daily trading volumes were muted over the combined Canada-U.S. holiday weekend, sliding to 30.9 million for the session.

Mustang Minerals led the field of volume traders, trading more than 3.6 million shares, despite a 40, or 27%, fall to close at $1.09. The company released assay results from the initial fence of four drill holes on the M2 zone at the Mayville nickel/copper/platinum group metal project in eastern Manitoba. Hole 2 intersected 34 metres grading 1.1% copper and 0.5% nickel within a larger envelope of 61 metres averaging 0.6% copper and 0.3% nickel. Combined palladium, platinum and gold values averaged less than 0.5 gram per tonne, along with some minor cobalt values. Narrow veins of high-grade nickel mineralization were encountered, including up to 3% nickel, as well as narrow stringer zones with high-grade copper. A dozen holes have been completed on the 1,300-metre-long, east-trending conductor in the Mayville layered mafic-ultramafic intrusive. Mustang consolidated ownership of the Mayville property, acquiring Falconbridge‘s 40% interest in the joint venture as a result of buying the major’s controlling stake in Maskwa Nickel Chrome Mines.

Second on the most-active list was Nevada gold explorer White Knight Resources, which traded 3.4 million shares and gained 27, or 31%, to close at $1.15 per share. The company recently expanded its land position in the Cortez trend, grabbing an additional 127 claims adjacent to existing holdings. As well, Goldcorp chairman and former CEO Robert McEwen has purchased 5.7 million shares of White Knight, from Goldcorp, to hold a 10.5% position in the junior.

Tyler Resources placed third among volume leaders, remaining even on the week at 98 per share on a volume of 2.4 million. Drill results from the Bahuerachi silver-copper-zinc property in Chihuahua state, Mexico, indicate increased widths of mineralization on the Main zone. Hole 32, which ended in mineralization, returned a 35-metre intercept grading 1.1% copper, 0.32% zinc, 0.2 gram gold and 7.7 grams silver per tonne in skarn.

Uranium explorer Starfire Minerals saw 2.2 million shares cross the floor as the stock gained 7 to close at 30. The company started drilling at the Capri uranium project near Grand-Remous, Que. About 2,500 metres will be drilled in an attempt to redefine previous tested zones and test recently discovered ones.

Seabridge Gold grabbed 96 to close at $3.95 on a volume of 382,000. The company is advancing its gold project in the Courageous Lake area of the Northwest Territories.

Arizona Star Resource tacked on 72 to close at $4.90 on a volume of 1.1 million shares. The company recently added a couple of executives to its roster following the severing of its management services agreement with Bema Gold in early May.