Gold glitters on junior exchange (December 23, 2002)

Vancouver — Gold issues helped Canada’s junior exchange break the 1,000 mark on the S&P composite index over the week ended Dec. 17. The Venture Exchange index rocketed 35.56 points, or 3.68% of its value, to close the week at 1,001.8.

Pan Asia Mining jumped 8 and closed at 17 on more than 3.7 million shares. Driving the stock was word that WSAS Capital Ltd. had agreed to lend Pan Asia US$1.5 million to complete the purchase of a half-interest in the Mengyin VVS1 Diamond Co, which owns the Changma mine in China.

American Bonanza Gold Mining added 4 to its value and closed at 20 on a volume of 2.1 million shares. The company has begun drilling at its Pamlico project, in the Walker Lane gold trend of Nevada. The project is currently under option to American Nevada Gold. Plans call for eight drill holes to confirm and expand mineralization encountered previously in the underground workings in the central mine area and at the northwestern end of the Main zone.

Making a nice percentage gain on news that its joint-venture drill program with Toronto-listed Kinross Gold on the Gil claims in Alaska is nearly complete, Teryl Resources jumped 8 and closed at 40 on 1.9 million shares. The junior has four gold properties in the area of Fairbanks, Alaska, of which two are joint-ventured with Kinross Gold. The Gil prospect joint venture contains a drill-indicated 10.7 million tons grading 0.04 oz gold per ton.

Oasis Diamond Exploration closed flat at a nickel with 1.8 million shares traded. The company, together with partner Arctic Star Diamond, plans to drill the Enigma project, near Wawa, Ont. Arctic Star closed down 4 to 33 on a volume of 534,000 shares.

Seabridge Gold closed up 36 to $2.31 on 1.6 million shares. The company recently acquired the Courageous Lake project and closed a $5.4-million equity financing. Hatch Engineering is completing a scoping study at Courageous Lake.

Fronteer Development Group closed up 2 to 52 on a volume of 1.5 million shares. Its 2002 exploration program outlined a zone of mineralization and alteration on its Swain East and Sol d’Or properties, 100 km northeast of Red Lake, Ont.

St. Jude Resources closed up 26 to $1.18 with 1.4 million shares crossing the floor. St. Jude is engaged in a drill program that will continue into 2003. The work is focused on the South Benso and Hwini-Butre projects.

International Wayside Gold Mines ended the week flat at 10 on 1.4 million shares. The Frank Callaghan-led company is looking to advance its Cariboo gold property near Wells, B.C., in the new year.

Desert Sun Mining closed at 70, up 19 on 1.3 million shares. The company recently identified extensions of favourable rock units immediately north of its extensive Jacobina holdings. As a result, it has applied for an additional 105 sq. km in exploration licences in the Brazilian state of Bahia.

Madison Enterprises closed up 3 to 19 on 1.3 million shares. The company has been exploring the Lewis property in Lander Cty., Nev., immediately adjacent to and northwest of Newmont Mining’s Phoenix-Fortitude property, which hosts 174 million tons grading 0.034 oz. per ton gold.

The latest drill results from the Mesamax discovery zone on the Expo Ungava nickel-copper-platinum-palladium property in northern Quebec sent investors running for the exits. Shares in Canadian Royalties plunged 22 and closed at $1.78 on a volume of 1.2 million shares.

Hunter-Dickinson-led Great Basin Gold recently inked a deal allowing the company the right to buy a private South African entity, which holds an option to earn an 80% stake in the Burnstone property. Covering 400 sq. km in the Witwatersrand Goldfields, the property lies 100 km southeast of Johannesburg and hosts an indicated and inferred resource of 34.7 million tonnes grading 15.53 grams gold per tonne. Shares in the company closed at $1.41, up 29 on 1.1 million shares.