STOCK MARKETS — Active Golden Ring hoping to acquire Lac de

The Vancouver Stock Exchange composite and resource indices gained ground during the week ended Dec. 2, after a continuing diamond-related rally.

The resource index finished up more than 15 points to 606.13 while the composite index followed suit, gaining 7.22 points to 582.99. Golden Ring Resources took top trading spot with more than 2.4 million shares changing hands. The issue managed to touch a high of 35 cents before profit-taking pushed it back to 22 cents for a loss of 2 cents on the week. The company is negotiating to acquire ground in the Lac de Gras area of the Northwest Territories.

Trading activity in Commonwealth Gold remained brisk with more than 2.2 million shares traded, leaving the issue down 3 cents at $1.15. The company and its TSE-listed partners SouthernEra Resources and Aber Resources, having shaken off the announcement that artificial diamond drill bits were found in drill core from their Lac de Gras area ground, have confirmed the discovery of two white and one colored microdiamonds in the same core. Verdstone Resources added 14 cents to close at 50 cents after reporting it has optioned a 51% interest in a “significant” diamond property in central Alaska. Diamonds found in nearby placer operations between 1982 and 1986 indicate that a potential source could be located on the newly acquired ground.

Market action was not limited to diamond explorers during the week. Former gold producer Skyline Gold leapt to a high of $1.15 before closing up 62 cents at 90 cents.

Skyline recently completed a re-evaluation of its mineral holdings in the Iskut River area of northwestern British Columbia and identified a number of high-grade vein-type gold targets at its Johnny Mountain mine. The evaluation also identified the potential for finding a copper-gold porphyry deposit and/or a volcanogenic base-precious metal deposit.

Skyline is now reviewing the possibility of completing a secondary public financing to fund additional exploration on the property. In conjunction with the financing, the company plans to restructure its $28.7 million in long-term debt.

Big Creek Resource and Pacific Sentinel Gold completed their planned merger, with the surviving Pacific Sentinel posting a 22 cents gain during the period. With one merger behind it, Pacific Sentinel announced a further merger with Casino Silver Mines. Under the proposed deal, shareholders can exchange four shares of Casino Silver for three units of Pacific Sentinel. Each unit consists of one share and one non-transferable share-purchase warrant exercisable to May 31, 1993, at $3 per share.

If completed, the merger will give Pacific Sentinel a 100% interest in the Casino copper-gold deposit in southern Yukon. Casino climbed 61 cents on the news, finishing at $2.15.

Nevsun Resources hit a high of 51 cents, finishing up 13 cents at 50 cents. The company reports that there are no material changes in the affairs of the company to account for the price increase.

Another high-grade intersection from the Prairie Creek project in the Northwest Territories did little to help owner San Andreas Resources, which closed unchanged at $2.95. The company reported a vein intersection grading 21.33% lead, 27.52% zinc, 0.98% copper and 10.9 oz. silver per ton over a width of 45.3 ft.

Trading in Barkhor Resources remained active as investors await further drilling results from the company’s “Sullivan-type” exploration target near Cranbrook, B.C. Barkhor closed down a penny on more than 1.1 million shares. The project is a joint venture with TSE-listed Consolidated Ramrod Gold and Chapleau Resources, which finished unchanged at 55 cents.