Trading Summary (May 23, 2002)

Canadian markets were generally in positive territory on Thursday, with the Toronto Stock Exchange Composite Index advancing 86.70 points to finish at 7,725.08, for a gain of just over 1%. While the gain was modest, virtually all the market was moving forward; the only sector showing a loss for the day were the telecommunications providers.

Hard assets appear to be back in fashion, as the golds were the strongest sector, followed by real estate companies. The TSX Gold index shot up another 3.4%, closing 7.46 points higher at 228.27.

Activity was a little quieter, but Kinross Gold still was heavily traded, with 11 million shares moving. The stock gained another 17 to close at $4.23, up 4.2% on the day. Other mid-tiers made comparable gains: Meridian Gold added $1.25 to finish at $28.71 and Agnico-Eagle Mines was $1.10 better at $26.70. The big mover on the gold board was Iamgold, which picked up 46 to finish at $7.56.

The market seems to be piling into the off-index golds with a will. McWatters Mining was up 5.5 to close at 20 on a volume of 13.8 million shares, making it the most heavily traded stock on the TSX today. TVX Gold was also active, with 8.9 million shares moving for a gain of 15 and a close of $1.76.

A junior with a story was also in the spotlight. International Pursuit, a holdover from the Pacific Rim gold rush of the mid-90s, added 13 to close at 28 with 2.9 million shares trading. Pursuit has arranged to buy the Florida Canyon and Montana Tunnels gold mines, currently owned by Apollo Gold, the creditor-owned vehicle that took over the assets of bankrupt Pegasus Gold.

On the base metal side, the TSX Mining index was up 1.6 points to 146.27, roughly in line with the broad market. Inco was the big gainer, adding 85 to close at $33.75, and Noranda was not far behind, picking up 45 to finish at $19.17.

Gold-related issues continued to be the star performer on Canada’s junior exchange. The S&P-TSX Venture Composite Index gained 4.42 points, or 0.4% and closed at 1,220.42.

American Bonanza Gold Mining was the most actively traded junior explorer, ended the day at 18, up 3 on just over 2.46 million shares. The junior holds the low-grade Copperstone gold project in Arizona.

Kalahari Resources added 3 to close at 12 on 1.9 million shares. The company announced that it has six gold properties drill ready. These include the Murdoch Creek and Cook Lake prospects in Kirkland Lake, Ontario, the Recession Larder prospect in Larder Lake, Ontario, the Bogside project in Cadillac, Quebec, the Perestroika property in Val d’Or, Quebec, and the Claw Lake prospect in Timmins, Ontario.

Vannessa Ventures added 40 to close at $3.10 on 469,200 shares. The junior is advancing the Crucitas gold property in Costa Rica through to production. The measured and indicated gold resource comes in at 29.6 million tonnes grading 1.51 grams gold per tonne.

Freewest Resources Canada climbed 3 to 40 on 585,200 shares. The junior recently completed a third round of drilling on the Clarence Stream gold project. The wholly-owned property is 70-km from Fredericton in southwestern New Brunswick.