Junior exchange active despite bullion slump

Vancouver — Canada’s junior exchange followed the major bourses higher over the week ended July 8. The S&P-TSX Venture Exchange composite index closed up 3.42 points, or 0.3%, to 1107.31.

ITL Capital jumped 5 to close at 10 with more than 1.6 million shares traded. The junior, along with partner Skyharbour Resources, is looking to advance the HB gold property in the Red Lake area of Ontario. The ITL announced a $400,000 financing consisting of 4 million units priced at a dime apiece. Skyharbour ended the week at 15, up 3.

Golden Arch Resources ended the week up a penny to 13 with 1.6 million shares traded. The junior is working the Jupiter gold project on its Mildred Peak property in Pima Cty., Ariz. At last report, the company reached a tentative agreement, giving United Bolero the right to earn a 51% interest in the project.

Spider Resources added 3 to close at 12 with 1.56 million shares traded. The junior and its joint-venture partner, KWG Resources, are trying to advance the Spider 3 base metal prospect in the James Bay Lowlands of northern Ontario. KWG closed the week at 15, up 5, on a volume of 459,500 shares.

Desert Sun Mining tacked on 16 and closed at $1.10 with 1.4 million shares traded. The company announced a private placement of 3.6 million units priced at $1.10 per unit for a gross proceeds of $4 million. The underwriter, Sprott Securities, has an option to buy up to an additional 909,091 units at the issue price for extra proceeds of up to $1 million at any time prior to closing. The rpoceeds will be applied to exploration, in light of the recent discovery at the Morro do Vento gold project in Brazil.

New Bullet Group remained steady at 15 with just over 1.2 million shares traded. The company recently discovered a second structure of high-grade silver mineralization on the Santo Domingo property in Mexico. Grab samples returned up to 1,256 grams silver per tonne.

Shear Minerals closed the week at $1.07, down 25 with 1.2 million shares changing hands. The company holds a 51% interest in the Churchill Diamond project in the Kivalliq region of Nunavut. Partner Northern Empire Minerals is earning a 35% stake by spending $750,000 on exploration. BHP Billiton has a 14% interest. To date, exploration has identified seven new kimberlites on the property. Northern Empire closed the week at $1.53, down 17, on 283,000 shares.

Shares in Cardero Resource lost 13 and finished the week at 64 with just over 1 million shares crossing the floor. Cardero had traded as high as $2.50 prior to drill-testing of the Olaroz silver project in northwestern Argentina. Investors have since bid the company lower because of disappointing results from the diamond drilling program. Highlights include 34.5 metres averaging 133.2 grams silver and 24 metres of 100.3 grams silver.

Bishop Resources closed the week at 14, up 2, on 980,000 shares. The company has extended a non-brokered private placement to increase the offering to $750,000 through the issuance of a total of 7.5 million units priced at 10 per unit. A portion of the proceeds will be used to explore the Lawyers and Al/Bonanza properties in the Toodoggone region of British Columbia.