Trading Summary (May 25, 2001)

Warnings of continued weak economic growth by U.S. Federal Reserve chairmanAlan Greenspan late on Thursday sent investors scurrying for cover among thegold stocks on the Toronto Stock Exchange on Friday. After running upearly in the week on stronger gold prices, investors cashed in their goldissues over the past few days. Overall, the TSE was off 54.01 points, endingthe holiday-shortened week at 8,292.8. The gold issues recovered some lostground, adding 90.92 points, or 1.8%.

Kinross Gold remained one of the TSE’s most active issues, gaining a dimeto $1.44 on the backs of more than 2 million shares. Uranium producerDenison Mines also remained in investors’ sights, falling 2 to 19.5 onvolume of 1.8 million.

Most of the country’s other major gold producers saw decent gains.Barrick Gold rose 48 to $27.23, Placer Dome gained 82 to $17.97, NormandyMining gained 21 to $9, Franco-Nevada Mining tacked on 21 to reach $20.16and Goldcorp rose 20 to $15.65.

The base metal miners weren’t as fortunate. As a group, they dropped 5.21points to 4,896.86. Gainers included Inco, up 6 to $29.71, Alcan, 26higher at $69.25, Falconbridge, up 15 to $19.75, and Boliden, up 2 to 87.Most of the rest suffered modest losses.

Falco has announced that it has revised a deal with Finnish minerOutokumpu, allowing the former to purchase a 100% interest in the Montcalmnickel-copper deposit near Timmins, Ont. Falco previously held the right toonly 50% of the project.

The TSE has announced that it will, next Tuesday, set out a detailedtimetable for its long-awaited plan to become a publicly traded company. Nodetails are available regarding an initial public offering. TSE presidentBarbara Stymiest refused to speculate about what the exchange was worth.Last year, the TSE traded 41 billion shares worth $944 billion.

A late-day buying binge propelled Canada’s junior exchange higher. TheCanadian Ventures Exchange gained 35.39 points, or 1.1%, to finishthe week at 3,322.37. The Mining Index tacked on 36.98 points, or 0.5%, toclose at 7,104.42.

Shares in the Edmonton-based New Blue Ribbon Resources edged up 2 to 33on volume of over 800,000. Investors continued to jockey for position aheadof drill results from the Moose diamond property in Manitoba. The junior’sstock has doubled in the past two weeks on news that its joint-venturepartner, BHP, has hit significant sulphides on the first two holes drilledinto the property.

Madison Enterprises lost 1 to 12 on 278,500 shares. The company hastraded heavily over the past month on no new developments. Madison isworking the Mt. Kare gold prospect in Papua New Guinea.

Major General Resources got a modest boost after announcing itsinterpretation of the field results from the Yankee property on the VictoriaIsland diamond project. The junior edged up 2 to 10 on 231,000 shares. Thecompany has defined seven kimberlitic drill targets in the northern portionof the property.

A big percentage loser, Muskox Minerals plunged 13 to 67 on 153,833shares. After hitting a high of just over $4 per share late last year, thecompany has seen its stock deflate on the back of disappointingplatinum-palladium results from the Muskox layered intrusion in Nunavut. Itsdrilling is currently focussed on the Keel geophysical targets.

Shares in Poplar Resources continued to change hands at a fast andfurious pace. The company’s 65%-owned subsidiary is completing geochemicalsurveys over the Bottenbacken polymetallic property and is drill-testing theSundsvall diamond project. Both projects are in central Sweden. Poplar endedthe week unchanged at 16 on 604,500 shares.