STOCK MARKETS — Optimism inflates Western indices

A mood of optimism crept back into western markets as the Vancouver Stock Exchange composite index reversed its downward trend over the report period ended Aug. 6, to finish up 33.27 points at 1,132.92. The resource index rose 130.92 points to close at 2,145.85.

Speculation surrounds the rise of Arizona Star Resource, which is awaiting gold-copper assay results for an additional seven holes from a deep drilling program below the Cerro Casale gold deposit at Chile’s Aldebaran property.

The property is held 51% by Arizona Star and 49% by Toronto-listed Bema Gold.

Arizona Star tacked on $1.20 to finish at $7.60.

Investors bailed out of NDT Ventures and Alberta-listed Takla Star Resources after the release of disappointing drill results from a highly promising joint venture. The play, Project 44, is on the outskirts of Nain, Labrador.

NDT closed down 98 cents to $1.58, while Takla Star shed $2.50, closing at $3.10.

Anticipation is high as partners Fleck Resources and Alberta-listed Anvil Resources embark on a minimum 9-hole drill program on a 92-claim block adjoining the northwest boundary of Diamond Fields’ Voisey’s Bay discovery in Labrador. Anvil, which can earn a 40% interest from Fleck, was up 13 cents at $1.13, while Fleck added 31 cents to close at $1.43.

A US$1.5-million prefeasibility, exploration and 52-hole drill program is scheduled to begin this month at the 27,000-hectare KP DU866 property in West Java, Indonesia. The property hosts up to eight known gold vein systems and was previously tested with 40 holes. ERI Ventures, which holds a 56% interest in the property, is drilling to define a proven and probable reserve. ERI closed up 43 cents at $1.19.

Everest Mines and Minerals jumped $1.09 to $2.86 on limited trading. There has been little news from the company since it announced, earlier this summer, that it was acquiring two exploration properties in northwestern British Columbia.

International TME Resources has completed a 23-hole drill program at its 50%-held Barama gold project in the Northwest mining district of Guyana. The testing targeted a surface area measuring 1,200 ft. long by 600 ft. wide. For the first 16 holes assayed, nine of the holes returned intervals ranging from 3 ft. grading 0.016 oz. gold per ton to 105 ft. grading 0.49 oz.

International TME was up 37 cents at $3.40.

El Callao Mining closed at $1.45 for a gain of 25 cents. Initial drilling at its 70%-held Lo Increible gold property in Venezuela is extending the Cruz deposit downdip. Selected results from five new holes include 62 ft. of 0.13 oz. gold per ton, 43 ft. of 0.14 oz., and 20 ft. of 0.39 oz. Cruz is one of two deposits that, in total, are estimated to contain 835,000 oz. Cruz alone is estimated to host 1.5 million tons grading 0.14 oz.; the other, known as Victoria, contains a reserve of 6.3 million tons grading 0.1 oz.

Preliminary trenching results from Consolidated Silver Tusk Mines’ 80%-owned Pt. Karya Bukit Utama property on the Indonesian island of Sumatra returned 10 metres averaging 2.36 grams gold and 809 grams silver. The issue fell to $2.60, resulting in a loss of $1.

Prior to announcing the acquisition of the rights to a joint venture with Gecamines on the development of the Kambove and Kakanda projects in Zaire, International Panorama Resource halted its trading at $3.75, for a gain of 89 cents. The tailings project is estimated to contain 61 million tonnes grading 0.98% copper and 0.19% cobalt.

Further trenching at Francisco Gold’s wholly owned El Sauzal gold property in Mexico’s Chihuahua state has connected the East and West zones, which now encompass a 700-by-550-metre area. Twenty-one of 30 new trenches returned an average grade better than 0.5 gram gold, while selected results of 10 trenches include 59 metres of 14 grams, 92 metres of 3.3 grams, 74 metres of 6.7 grams and 10 metres of 4.8 grams. Francisco closed up 65 cents at $9.95.