Investors anxiously awaiting results

The junior mining market is showing rumblings of gaining some legs with daily trading volumes remaining over the paltry 20-million-share threshold for the week. Investors await exploration results from the plethora of cashed-up companies active over the summer. Over the trading period September 8-14 the traditionally buoyant post-Labour day market saw the S&P-TSV Venture Composite Index closing at 1517.63, up 12 points.

Gold saw a steady week of gains closing at US$405.10 per ounce on the New York Spot Market, up over 2% or US$8.50 from the previous session’s close. December gold futures closed at US$407.40 for the period on the New York Futures Market. The price of bullion strengthened against the American greenback, which saw a sell off as a record U.S. current account gap was reported for the second quarter. The current account deficit of US$166.18 billion was larger than forecast, generating concern over sustainable economic recovery in the States and whether Fed Chair Alan Greenspan would curtail possible upcoming rate hikes. Some major investment banks have also been reporting on a general slowing in bullion sales following the announcement by the Italian Central Bank that it has no plans to sell any of its gold reserves.

Market eyes appear to be on the volume leader for the week Rockwell Ventures, trading almost 5.2 million shares and gaining 3.5 a share to close at 12. There was no news on the Hunter Dickinson Group shell, it was involved in diamond exploration earlier this year in the Northwest Territories but had dropped its option on the project when drilling failed to turn up kimberlite. In its most-recent release, the company states it is reviewing acquisitions.

Third place on the volume leader board went to Carpathian Gold, which saw almost 4 million shares change hands. The bulk of the volume is attributable to a Canaccord market cross, however. The company is undertaking an economic evaluation of the Varatec Mine project in northern Romania, confirming high-grade gold veins on the property. The company also showed a 50% gain on the week closing at 15 per share.

JNR Resources continued amongst the volume leaders, trading over 3.5 million shares on the session, gaining over 21% or 17, to close at 97 per share. Its joint venture with International Uranium is exploring for uranium in the Athabasca Basin of northern Saskatchewan. The duo had previously announced high-grades of uranium mineralization from its Moore Lake drilling. Intercepts of up to 7% U3O8 captured investor attention in a hot uranium market with spot prices now around the US$19.25 per lb. level.

Again, Sunridge Gold made it on the most actives list. Unfortunately for the company, it was still due to the government of Eritrea’s unexplained and novel mineral exploration/development policy: Stop Work Now. Sunridge saw over 2.7 million shares of volume, losing 16% or a further 14 a share to close out at 71 per share. Fellow Eritrean refugee Sanu Resources led percentage decliners for the week, down 44% on high volume to close at 42 a share.