Trading Summary (June 27, 2002)

Toronto Stocks managed to gain some ground on Thursday led by the heath care sector with a 2.7% gain and the banks, which rose 1.6%. The golds were less fortunate dropping 8.35 points or more than 4% to 194.21 points. The base metal issues grabbed 1.56 points to make 142.49. By the end of trading, the BS&P/TSX Composite Index had added 52.83 points to end at 7,073.81.

Rio Narcea Gold Mines was the nation’s most traded mining issue dropping 6 to $1.55 with just short of 5.9 million shares changing hands. The company recently restructured its hedge book closing out all US$ -denominated gold calls maturing in 2003 onward, representing 58,244 oz. gold. Rio still has 20,778 oz. of calls at US$365 per oz. that mature at year-end and 248,994 oz. at E405 per oz. that mature gradually over the next 4.5 years.

Placer Dome fell 62 to $17.88 on a volume of nearly 4 million shares. The Vancouver-based gold miner reiterated that it believes that its offer has received all necessary regulatory approvals, and has been endorsed by Harmony Gold, one of AurionGold’s major shareholders. The company also noted that the offer has the approval of the Australian Foreign Investment Review Board.

The three merger amigos all suffered loses. Echo Bay Mines fell 11 to $1.83 on about 3.8 million shares to lead the group. Kinross Gold slid 26 to $3.62 and TVX Gold lost 17 to hit $2.28.

The country’s remaining gold major, Barrick Gold, shed 70 $29.85.

Inco regained 95 finishing at $33.35 on a volume of 1.35 million shares, enough to rank as the most traded base metal issue. Alcan, with about 737,500 shares on the go, was a distant second rising $1.55 to $55.16. On the minus side were Sherritt International, off 17 to $5.50 and Aur Resources, a dime lower at $4.65. Cameco slipped a penny to $38.39.

On the diamond front, Diamond Fields International jumped 9 to $85. On Thursday, the company said it has secured debt financing of up to US$15 million to purchase its own marine diamond mining vessel. The ship is expected to begin production by March or April of next year.

There was no relief rally for Canada’s junior exchange as the sell orders continued to mount. The Standard & Poor’s-TSX Venture composite index lost 9.61 points, or 0.8%, to finish at 1158.84.

Traders continued to flip shares in American Bonanza Gold Mining with the junior ending the day unchanged at 20 on a heavy volume of 1.7 million. The company has $2 million aimed for advancing the Copperstone gold project in Arizona, which hosts an estimated total resource of 2.1 million tons grading 0.58-oz gold per ton.

Axmin gained 2 to close at 35 on 740,000 shares. The junior announced that 160 rotary air blast holes have been completed on the Passendro project within the Bambari permit in the Bandas Archean greenstone belt of the Central African Republic. Assay results are pending.

Falling victim to a lower gold price, IMA Exploration lost 7 to close at 63 on 584,960 shares. The junior has been busy acquiring gold properties in Peru and Argentina. In the latest deal, the company picked up the Victoria claims, which are contiguous to its Las Bayas property in Chubut Province, southern Argentina.

Frank Callaghan-led International Wayside Gold Mines managed to add a penny to close at 17 on 366,755 shares. The company is drilling the northeastern extension of the Bonanza ledge discovery near Wells, British Columbia.