Junior exchange bullish as Iraq fears subside

Vancouver — With the war in Iraq basically over, investors began to take money off of the sidelines. Over the week ended April 22, the S&P-TSX Venture Exchange composite index tacked on 9.41 points, or 0.9%, and closed at 1,047.31.

Spider Resources was the week’s volume leader among junior explorers, with 4.7 million shares traded. The junior and its joint-venture partner, over-the-counter-listed KWG Resources, recently reported more massive sulphide intercepts on their Spider 3 base metal prospect in the James Bay Lowlands of northern Ontario. Spider closed up a penny to 14.

Bear Creek Mining was purchased by EVEolution Ventures, a capital pool formed in 1999 for the purpose of searching for a high-tech company to nurture. After the tech sector imploded, the company turned to Catherine McLeod-Seltzer who put together a deal with geologist David Lowell, the founder of Arequipa Resources. Lowell-led Bear Creek Mining began trading on April 22 and soared 54, or 180%, to 84 with 917,000 shares crossing the floor. Bear Creek, which is exploring for gold in Peru, completed a public offering in early April that consisted of 12 million units priced at US50 each for gross proceeds of US$6 million. The company has 27 million shares outstanding, of which 16.5 million are subject to escrow or pooling restrictions.

Candor Ventures tacked on 5 and closed the week at 50 with 1.25 million shares traded. The company has inked a deal with Maude Lake Exploration to earn a half-stake in Maude Lake’s Comtois gold deposit, 150 km by road from Val d’Or, Que. Maude Lake closed up a penny to 11, on 335,000 shares.

Donner Minerals lost a penny and closed at 15 with 838,000 shares traded. The junior has completed a 3-hole, 992-metre drill program over its Stephens Lake property in Manitoba. One of the holes cut 72 metres of sulphide iron formation. Assay results are pending. Donner entered into an agreement with Falconbridge to earn a half-interest in the project by spending $5 million.

Melkior Resources closed at 19, up 5 with 810,000 shares traded. The company holds an interest in several development-stage deposits. These include: a 15% stake in the Delta property, close to the Raglan mine, in Quebec; the Launay property, also in Quebec; and the Kabolela and Kipese properties, in the Congo. Among Melkior’s other assets is a 198-sq.-km land package in Quebec’s Otish Mountains area.

Diagem International Resource closed flat at 24 with 765,000 shares changing hands. The company has kicked off a bulk sampling program to test the grade and extent of diamondiferous gravels and kimberlite throughout the Chicoria Creek area of Brazil.

Oasis Diamond closed at 10, up 2 with 754,000 shares traded. The company and its partner, Arctic Star Diamond, began drilling at their Wawa diamond exploration project. Arctic Star closed at 90 up 11 with 443,000 shares traded.

Making a nice percentage move, Samex Mining added 9 and closed at 28 on 698,000 shares. The junior made the final payment required on the purchase of about 14.7 sq. km in central Chile. Samex purchased the concessions for US$50,000 cash (US$10,000 on execution of the agreement, and a final payment of US$40,000).