Trading Summary (January 19, 2004)

Toronto’s gold index was one of just three subindices to end in the red on Monday, falling 1.04 points to 206.67. In New York, gold ended US$1.90 lower at US$406.40 per oz. The diversified miners more than took up the slack gaining 4.72 points, or 2.2%, to make 222.47. Overall, the S&P/TSX Composite Index rose 58.10 points to 8,580.36.

FounderingMcWatters Mining ended the day as the busiest mining issue with more than 11.9 million shares ending unchanged at 2.5. Last week, the company agreed to the appointment of a receiver under the Bankruptcy and Insolvency Act and plans to make a repayment proposal to its creditors. The company has 30 days to come up with a formal proposal for its creditors. Thereafter, the creditors have 21 days to decide on the proposal.

On Monday, Queenstake reported that proven and probable reserves at its Jerritt Canyon gold mine in Nevada have more than doubled to 820,104 oz. The increase comes thanks to drilling over the past six months plus improved economics. The late news sent shares in the company 7, or about 9%, higher to 85.

Constellation Copper watched more than 6.1 million shares make their way a penny higher to 13.5 after reporting the latest results from its Cashin property in Colorado. Three HQ-sized core holes returned an average of 216 ft. running 0.73% copper.

Teck Cominco was the newsmaker among the base metal miners. The Untied Steel Workers of America local 7619 and management at the Highland Valley copper mine in B.C., have reached a tentative deal to avert a strike. Teck is majority owner of the mine; its issue finished 65 higher at $21.40.

Aluminum giant Alcan also made news saying that it will take a 45-million-euro impairment charge for costs incurred at the Coega smelter project in South Africa. The company also plans to review its interest in Aluminium de Grce smelter, which has concerns over electricity supply for its St. Nicholas aluminium smelter. Alcan grabbed 83 to reach $59.57.

Shares in First Quantum Minerals ended 31 to the good at $13.65 after the copper miner said that it has dropped out of the bidding for the Neves Corvo copper mine in Portugal. Neves Corvo is operated by Somincor, a company owned 51% by the Portuguese Government and 49% by Rio Tinto.