STOCK MARKETS — Western markets anticipate rebound for gold

Both the resource and composite indexes of the Vancouver Stock Exchange gained ground over the period ended Aug. 31 as investors awaited a rebound in the price of gold. The resource index added 35.67 points to close at 1,375.32 while the composite finished up over 26 points at 1,004.47.

Delta Gold Mining did well over the report period, jumping 50 cents to close at $1.05.

The company recently reached an agreement to buy a half interest in a gold project in Queensland, Australia, and up to a 75% interest in a gold project on Bohol Island in the Philippines.

An agreement with Sable Resources to acquire a majority interest in International Taurus gave Hera Resources a big boost, with an 88 cents gain to $1.80.

International Taurus also gained ground, adding 35 cents to more than double at 65 cents.

Taurus owns a gold mine in northwestern British Columbia and Hera hopes to bring it back into production. Property assets include a 350-ton-per-day mill built in 1980 and a preliminary resource of about 300,000 tons grading 0.21 oz. gold per ton.

Mirage Resource continued to gain ground, with a 58 cents jump to $2.10. A second drill hole on the company’s 50%-owned El Dorado property in El Salvador returned a 16.1-ft. intersection grading 0.77 oz. gold and 3.55 oz. silver per ton compared with the previously released first drill hole which returned 36.7 ft. grading 0.51 oz. gold and 3.94 oz. silver. Toronto-listed Bethlehem Resources and Dejour Mines each have a quarter interest in the project. Both issues remaining little-changed at 56 cents and 20 cents respectively.

Murray Pezim’s Prime Equities International put in a strong performance with a 60 cents jump to $5 after announcing plans to sell at least one million units at $5 each through a brokered private placement.

Silverstone Resources, which is managed by Prime Equities, jumped 27 cents to close at 63 cents.

A large area of geochemically anomalous copper values was recently outlined on the company’s La Esperanza property in Panama. Silverstone can earn a half interest in the property from Adrian Resources which added a dime to close at $1.93.

Joint-venture partners Wealth Resources and Arbor Resources recently completed a 3,250-ft. drill hole at their Galena Giant property on the Idaho-Montana border. The hole intersected disseminated chalcopyrite mineralization within repeated bands of sulphides from 900 ft. to the bottom of the hole. And the companies speculate that a major mineralizing source or feeder system of massive sulphides may be nearby.

Wealth added 3 cents to close at 20 cents while Arbor gained a nickel to close at 28 cents.

Trading picked up in Goldbelt Resources, helping push the issue up 20 cents to 70 cents on more than 500,000 shares.

The company is arranging US$43 million in financing for a gold tailings recovery project in Kazakhstan. The project, in which Goldbelt can earn a half interest, is expected to produce about 608,000 oz. gold and 2.5 million oz. silver in the first five years of operation at cash costs significantly lower than average Western production.

Getty Copper recently completed an initial 5-hole program on its Getty North property in the Highland Valley area of British Columbia.

The holes were drilled to confirm grade, rock type and mineralization on a copper oxide zone. The company hopes to bring Getty North into production as a heap-leach solvent extraction-electrowinning operation.

Getty closed up 35 cents at $1.55.

International Skyline Gold jumped 83 cents to finish at $2.63 as the company gears up for a limited production run at its Johnny Mountain gold mine in northern British Columbia. The company expects to produce about 10,000 oz. gold, 120,000 lb. copper and 15,000 oz. silver from 20,000 tons of ore at a total production cost (including credits) of about US$233 per oz.