STOCK MARKETS — Venezuelan Goldfields benefits from

A frenzy of speculation centered around the Kilometre-88 region of Venezuela continued to stoke markets during the week ended Jan. 19.

The Vancouver Stock Exchange composite index gained 18.72 points to close at 675.43, while the resource index added a healthy 41.9 points, finishing at 706.94.

Venezuelan Goldfields, known formerly as Mt. Grant Mines, remains at the forefront of trading activity. The issue managed to hit a record high of $9.75 before closing up $2.50 at $9.50.

Today, Jan. 20, the issue was halted prior to Venezuelan releasing news that it has arranged a private placement of one million shares at $10 each to a major Canadian institutional investment group.

The company plans to use the funds for additional property acquisitions in the area.

Placer Dome brought the Kilometre-88 region to prominence late last year after rumors of a massive gold find at its Las Cristinas property began circulating within the financial community. The company has yet to make any official announcements on its findings at the property.

With most of the surrounding properties in the early stages of exploration, it may be some time before Venezuelan and its various partners begin drilling programs.

TSE-listed Queenstake Resources, which formed a joint venture with Venezuelan last year on its Bizkaitarra concession, plans to begin a geological sampling program shortly.

Carson Gold, which signed an agreement earlier this year giving Venezuelan the right to earn up to a 70% interest in its concessions, finished the period up 40 cents at $2.25.

Crystallex Resources and Eurus Resource are likely to be the first group outside Placer Dome to begin drilling in the area this year. Eurus can earn a 50% interest in Crystallex’s Albino concession and the company plans to begin a drilling program on the property in early February. Previous work on the Albino property outlined a high-grade shear zone averaging about 0.66 oz. gold per ton over a true width of 36.7 ft. The zone has never been drilled.

Crystallex gained a dime to finish at $3.95 while Eurus lost 12 cents to close at $1.53.

Chase Resource continued to gain ground, adding 55 cents to close at $3.80; investors await additional assay results from the company’s Taysan copper-gold project in the Philippines. The current drilling program is designed to prove up a high-grade starter pit within a larger reserve totalling about 370 million tons and grading 0.31% copper and 0.01 oz. gold. With gold assays still not yet available, the first hole returned 486 ft. grading 0.55% copper, followed by 233 ft. grading 0.87% copper. The mobilization of field crews to the Petaquilla property in Panama did little to help Adrian Resources, with the issue posting a 2 cents gain to 72 cents.

Adrian can earn 40% of an 80% interest in the property held by TSE-listed Minnova.

The company expects to begin a first-phase, $1 million drilling program on the property shortly to test various drill targets and expand reserves from the current 875.6 million tons grading 0.6% copper.

Cyclone Capital did well, gaining 66 cents to close at $3.25. The company reported that diamond indicator minerals were found in all five kimberlite samples taken from its Somerset Island properties.

The company has an option to acquire a 100% interest in 11 claim groups and one mineral lease from Cominco, as well as holding a 50% interest in the Batty property.

Breckenridge Resources, which holds an option on the other 50% interest in the Batty property, added 15 cents to close at 65 cents.

Both El Condor Resources and St. Philips Resources gained ground over the period. Feasibility work continues at their 60/40 South Kemess joint venture in north-central British Columbia. El Condor closed up 36 cents at $3.25 while St. Philips gained 20 cents to close at $1.25.