STOCK MARKETS — Resource stocks boost western markets

There was little evidence of post-referendum momentum for western markets over the report period ended Nov. 7.

The Vancouver Stock Exchange composite index remained flat, with a slight increase of 0.95 point at 779.94, while the resource index gained 16.81 points to close at 1,253.75.

After experiencing a meteoric rise over the last month, partners Teuton Resources and Minvita Enterprises closed down. Teuton lost 60 cents to close at $1.35, while Minvita slipped 78 cents, finishing at $1.86. The market has been enthralled by preliminary trenching results from the partners’ Red Mountain area gold property near Stewart, British Columbia.

Complete trenching results were recently released, and included values for four main shear structures contained within an area measuring 250 by 1,075 ft. Results are as follows: 0.69 oz. gold per ton over a strike length of 466 ft. at an average width of 9.8 ft. for the S-1 zone; 0.78 oz. over a strike length of 1,075 ft. at an average width of 7.2 ft. for zone S-2A; 0.84 oz. over a strike length of 626 ft. at an average width of 14.8 ft. for zone H-1; and 2.62 oz. over a strike length of 59 ft. at an average width of 4.9 ft. for zone H-2.

A 13-hole, 3,500-ft. drilling program was recently completed on the northeastern section of the property as a follow-up to some of the higher-grade trenches. Results are pending.

KRL Resources announced it had acquired 27 claims in the Glacier Creek area of Red Mountain. The claims are tied to the northern boundary of Teuton and Minvita’s property. KRL finished up 7 cents at 28 cents.

Drilling is under way at Alberta-listed Gitennes Exploration’s wholly owned Fishhook property and the adjacent 50% held TQY property in the Northwest Territories. Visible gold is reported for a number of holes, which tested the Woolly Bugger and Firefly iron formation targets. Hole 55 from the Woolly Bugger, situated on the Fishhook property, returned 28.2 ft. of 0.42 oz. Alberta-listed Tanqueray Resources, which owns the other 50% of TQY, finished up 39 cents at 82 cents, while Gitennes gained 23 cents to close at $1.18.

Interest in Farallon Resources continues to be strong. The issue climbed 35 cents to $2.30. The company is headed by the management team of Robert Hunter and Robert Dickinson, and plans are in the works for an exploration program to test newly acquired gold properties in the Mexican state of Guerrero.

A wholly owned subsidiary of New York-listed Magma Copper can earn a 51% interest in the Cuatro Hermanos copper-molybdenum property in Mexico’s Sonora state from Morgain Minerals by spending US$2.7 million on exploration over five years. Morgain estimates the property hosts a mineralized zone in the vicinity of 200 million tons averaging 0.48% copper and 0.035% molybdenite. Further north, Morgain recently acquired two gold properties southwest of Timmins, Ontario, where random grab sampling across 100 ft. of trenching on one of the properties returned an average value of 0.14 oz. Morgain closed at $1.15 for a gain of 16 cents.

Punters continue to boot Alberta-listed Bre-X Minerals. The issue closed up $5.50 at $53. At last word, the 80%- owned Central zone at the company’s Busang gold project in East Kalimantan, Indonesia, was estimated to contain 35.1 million tonnes averaging 2.44 grams gold per tonne at a cutoff grade of 0.5 gram. Drilling continues in the Southeast zone.

Arequipa Resources reports that exploration work is progressing on its projects in Peru, and drilling is expected to begin shortly on the Los Calatos copper prospect, which is joint ventured with New York-listed Phelps Dodge. Arequipa added 30 cents to finish at $1.55.