Adding to a flurry of base metals news during the report period ended Nov. 28, Sulliden Exploration announced the discovery of more high-grade zinc mineralization at the Mario property in Peru.
On Nov. 29, the junior announced that five of nine preliminary holes had cut up to 26.10% zinc, 6.35% lead and 559.8 grams silver per tonne over 9.15 metres. The company plans to resume drilling at the property next year.
Sulliden rose 14 over the report period to finish at 65. On the day of the announcement, it fell back 5.
Four joint-venture partners — Noranda, Teck, London-based Billiton and Japan-based Mitsubishi — announced a 13% increase in reserves at their Antamina deposit, also in Peru. Combined proven and probable reserves now stand at 559 million tonnes averaging 1.23% copper, 1.03% zinc and 0.03% molybdenum, plus 13.95 grams silver. Noranda slipped 40 to $14.80, whereas Teck climbed 10 to $11.60.
After two failed attempts, Inco received shareholder approval to amend the terms of its Voisey’s Bay Nickel (VBN) shares. Eighty-five per cent of shareholders (5% shy of the major’s target) voted in favour of the shares’ being redeemed for $7.50 in cash and 0.45 of a common share purchase warrant with a strike price of $30. Inco shares dropped $1 to $21.80, while VBN shares climbed 15 to $10.55.
Breakwater Resources, which fell 10 to $1.30, suspended operations at its Langlois zinc-copper mine in northwestern Quebec. Production will not be resumed until metal prices improve and the mine is properly developed.
The remaining producers were a mixed bag: Cominco climbed 45 to $18.35; Falconbridge rose 30 to $17.50; Sheritt International dropped 22 to $3.88; Boliden rose 6 to $1.15; First Quantum Minerals slipped 4 to $3.16; and Inmet Mining fell 5 to $1.90.
Overall, the Toronto Stock Exchange’s metals and minerals gained 11.56 points to end the report period at 3,459.87. Spot nickel climbed US17 to trade at a London morning fix of US$3.40 per lb. on Nov. 29. Likewise, copper gained US3 and zinc rose US1; lead remained unchanged at US21 per lb.
Higher metal prices pushed the gold and precious metals sector 262.53 higher to 4,115.25. Gold was fixed at US$269 per oz, for a gain of $2.55; silver, at US$4.70 per oz., for a gain of 8; platinum, at US$600 per oz., for a gain of US$12; and palladium, at US$799 per oz., for a gain of $14.
Canada’s major gold producers all increased in value: Barrick Gold soared $1.40 to $22.95; Placer Dome climbed 75 to $14.35; and Kinross Gold edged ahead 20 to 95.
Among juniors, partners Miramar Mining and Hope Bay Gold released new resource estimates from the Hope Bay project in western Nunavut. Miramar declined 11 to close at $1.05, but Hope Bay added 1 to finish at 35.
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