Montreal Exchange Louvem makes deal

What got off to a promising start ended on a down note, with both the market portfolio and the mining and minerals index of the Montreal Exchange showing negative numbers during the latter part of the week. Although volume generally was moderate, resource stocks were among the more active issues.

Trading 1,620,200 shares and closing up 20 cents to $2.95 was Louvem Inc., which has concluded a private placement of about 3.7 million common shares in the company’s capital stock, with St. Genevieve Resources, at $2.70 per share. Louvem plans to use the $10 million to repay its debt to Soquem and to deepen the shaft at the Chimo mine and continue underground development there. St. Genevieve moved down 25 cents to $8.88 on a volume of 509,500 shares.

Busy making property deals was Mazarin Inc., which gained 7 cents to 87 cents with 1,496,100 shares changing hands. Mazarin has acquired an option to purchase a 50% interest in Teck Corp.’s Inmont property near Rouyn-Noranda, Que., and in turn has given Dufresnoy Inc. an option to earn a 25% interest (half of Mazarin’s interest) in the project. Mazarin and Dufresnoy have also signed a separate deal in which Mazarin may earn a 50% interest from Dufresnoy, which jumped 44 cents to $1.59 on 1,038,300 shares, in the Union Mining-New Bidlamaque property at Val d’Or, Que.

Announcing encouraging results from the Isle-Dieu gold property in northwestern Quebec was Explorations Minieres du Nord, which slipped 5 cents to 64 cents on a volume of 31,400. The company, which recently raised $1 million in a private placement, plans a new exploration drilling program.

Three firms, Oasis Resources, Messeguay Mines and Western Quebec Mines, have agreed to develop the 17-claim Joubi gold property at Val d’Or. Oasis, which gained 28 cents to $1.60 on 961,900 shares, and Messeguay, which closed up 8 cents to 90 cents on 202,300 shares, may earn a 49% interest in the property from Western Quebec by spending $7.5 million before February, 1989. Western Quebec was up 9 cents to $1.74 on a volume of 37,400.

Needing more funds for exploration of its Bourlamaque property in northwestern Quebec, Wrightbar Mines, which moved down 13 cents to $1.85 on 18,400 shares, has arranged for an additional $4 million of flow- through financing. Belmoral Mines, which slipped 13 cents to $5.88 on a volume of 30,800, is performing the exploration work.

Recently listed for trading on the me were the common shares and warrants of Rogi Exploration.