International Wayside still in the doghouse

The Canadian Venture Exchange index tacked on 54.01 points, or 1.6%, to close the report period ended June 13 at 3,464.6. All indices posted minor gains, included the mining index, which was up 93.28 points, or 2.3%, at 4,143.91.

Shares of International Wayside Gold Mines remain halted. The CDNX says it has been in contact with the company on a regular basis since the initiation of the trading halt May 11, and has extensively discussed with the company the nature of the issues and concerns identified by the exchange. Unresolved issues include the company’s projections of economic viability of its current inferred resource at the Cariboo gold project in B.C., the mining expertise of management, and the company’s investor relations and disclosure practices. The exchange is currently awaiting a status report from Wayside on the implementation of corrective measures.

New Blue Ribbon Resources was one of the most active traders, closing at 45, up 21 on 2.9 million shares. The company recently agreed to a 1.75-million unit private placement at 20 for proceeds of $350,000. The primary focus of the company is a heavy mineral sands project, north of Athabasca, Alta. It holds varying interests in a package of properties in Alberta, including an option to earn a 60% interest from Montello Resources and Redwood Resources in the Legend property.

A 6-hole reverse-circulation drilling program on the Gunman property in White Pine Cty., Nev., yielded some high-grade zinc and silver values in two of the holes for joint-venture partners Cypress Development and Mid-North Resources. Hole 1 was drilled vertically and intersected 100 ft. grading 4.9% zinc and 0.96 oz. silver (including 10 ft. 25% zinc and 3.2 oz. silver), starting at 115 ft. of depth, while hole 2, angled 45 to the west from the same setup, hit 35 ft. of 3.5% zinc and 0.17 oz. silver at 130 ft. downhole. Cypress pulled back from a high of 55 to close the week up 2 at 37, while Mid-North reached a high of 46, only to fall back unchanged at 30.

Cardero Resources is drill-testing a gold prospect at the 60%-optioned Cori Huarmi property in southern Peru, in a similar geological setting as Barrick Gold’s Pierina mine. The initial program of 3,500 metres in 12 core holes will test targets along the 2.5-km length of the gold anomaly. The first hole was drilled to a depth of 350 metres and the drill has moved 1,000 metres to the southeast. Cardero was up 30 at $1.76, while Ascot Resources, which holds a 48% stake of Cardero on a fully diluted basis, added 20 to close the week at 70.

Francisco Gold, up 45 to $6, is gearing up to begin an exploration drill program at the Marlin gold property in Guatemala. Francisco is acquiring Marlin for 650,000 shares from privately held Montana Gold. A further 1.45 million shares will be issued on a sliding scale arrangement based on the number of minable oz. discovered on the properties. Rock-chip sampling by Montana yielded an average grade of 3.21 grams gold and 56 grams silver from 821 samples. A mechanized trenching and sampling program by Francisco and Rescan Engineering confirmed Montana’s results.