U.S. stock markets ended lower over the May 10-16 period. The S&P 500 index fell 43.15 points to close at 1,165.69 points, while the Dow Jones industrial average fell 132.05 points to 10,252.29.
Eight mining stocks traded more than 10 million shares apiece; all decreased in value.
At 26 million shares, Alcoa topped the most-traded list. The stock fell US$2.75 to close at US$26.60, touching a multi-year low of US$26.03 along the way. Alcoa plans to start producing bauxite at its Brazilian Juriti bauxite mine in 2008. Aluminum prices have fallen to an average of US80 per lb. this month from US92 in March.
Shares in Newmont Mining fell US$3.19 to US$35.10, on a volume of 21 million shares. The company filed a shelf registration so that it can sell up to US$600 million in securities in one or more offerings. In other news, the Indonesian government is still charging six executives from Newmont for polluting at its Buyat Bay gold mine but says it is willing to negotiate an out-of-court settlement.
High cash costs at three of Apollo Gold‘s mines resulted in a net loss of US$3.7 million (or US4 per share) in the first quarter. Apollo’s shares took a dive, falling 31.7% to close at US28 on a volume of 2.4 million.
Bema Gold fell 21% to US$1.73 after reporting a loss of US$14.8 million (US3.7 per share) in the quarter. Just over 3.4 million shares changed hands. Gold revenue increased 9% over the corresponding period of 2004, totalling US$21.5 million on sales of 51,792 oz. at an average realized price of US$415 per oz.
Over-the-counter trader Golden Phoenix Minerals rose 12%, trading just under 4 million shares to close at US15.7. The company has raised funds for construction of a 100-ton-per-day mill at the Ashdown molybdenum joint venture in Nevada.
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