STOCK MARKETS — Silver overlooked but it’s moving too

While investor interest has mostly been focused on gold, the price of silver has run up quite nicely recently. During this report week, for example, the price rose US17 cents to US$5.59 per oz. Slightly more than a year ago, it was in the US$3.50-$3.70 range.

In Canada, there are currently no primary silver producers, although companies such as Brunswick Mining & Smelting do produce large quantities of byproduct material.

However, the share values of one company with a past-producing property, United Keno Hill, has been rising lately, likely because the company recently commissioned Watts Griffis McQuat to review existing reserves in advance of an underground drilling project in May. United Keno closed up 75 cents to $3.65 this week. The shares had reached as high as $4.95 and as low as 40 cents in the past 12 months.

Perhaps related to the strength in the silver price, Equity Silver moved up 7 cents to close at 99 cents. Its mine in British Columbia was closed recently. Gold bullion prices, meanwhile, climbed US$3.10 to close at US$388.40. American Barrick closed up 63 cents to $34.13; Placer Dome rose by $1.50, closing at $33.63 on nearly 4.3 million shares; Lac gained 38 cents to close at $12.25; Echo Bay gained 38 cents to $17.38; Agnico Eagle was up 38 cents to $16.75. Franco Nevada lost $2 to close at $79.25; and Euro Nevada rose $1.50 to close at $43.50.

Franco was in the news this week, reporting that it had acquired a 2% net smelter return on Greater Lenora’s northern Saskatchewan Goldfields property. Greater Lenora gained 35 cents on the news to close at $2.75. The company plans to spend half the $2 million raised from the royalty deal on exploration and development at the property.

Cathedral Gold jumped 65 cents to end the week at $4.15 on a volume of 946,000 shares. The company increased reserves at the 52%-owned Sterling gold mine in southern Nevada. In addition, the company is planning to complete a small drill program to test additional targets surrounding the deposit. Toronto-based Exall Resources gained 24 cents to close at $1.65. The company continues to test placer gold prospects on its Rio Yaqui project in Hermosillo, Mexico.

North American Palladium, which owns Canada’s only primary platinum group metals mine, closed down $1.13 to end the week at $8.

Continuing to gain ground and to trade with a strong volume was International Platinum. The company’s shares nudged up 3 cents to close at 99 cents. More than 10.1 million shares changed hands this week.

On the losing side, junior Caribgold Resources gave up 25 cents to end the week at $4.55. This, despite reports that the company is encouraged with results from its five joint-venture properties in Cuba.

Lyon Lake Minerals moved up on the strength of revised reserves from its Costa Rican gold project. The company plans to have the prefeasibility study completed soon.

Newly formed Dynacor Minerals shot up 10 cents to close the week at 46 cents. Dynacor came about as a result of a 1-for-10-share consolidation of formerly listed Maufort Resources. The company has several gold properties in northwestern Quebec.

Among the major base metal miners, Inco was up $2.75 to close at $35.38. The volume was more than 2.7 million shares.

Tintina Mines rose 25 cents to close at $1.35 on 230,000 shares; NSR climbed 39 cents to close at 83 cents on 1.8 million shares; and Focal rose 24 cents to close at 80 cents.

After announcing a diamond deal in the Lac de Gras area with Noront Resources, Ashton Mining Canada moved up 28 cents to $1.95 while partner Pure Gold Resources added 8 cents to close at 53 cents on a volume of more than 7.3 million shares. Noront posted a modest gain of 3 cents to finish at 40 cents.

Texas Star continued to move up, gaining 60 cents to close at $4.70. Last week, the company inked a deal with Placer Dome on its Crater of Diamonds property in Arkansas.

Other diamond movers included SouthernEra Resources, up 50 cents to $6.63, and United Reef, which added 5 cents to close at 70 cents on a volume of 713,300 shares.

Having announced that its 25%-owned Spanish subsidiary Filon Sur S.A. posted a record profit of $1.6 million in 1993, Caledonia Mining hit a 12-month high of $5.25 and closed the week up 88 cents at $4.88.