Trading Summary (June 19, 2001)

After some early gains spurred on by timid bargain hunters rummaging through the remains of the technology sector, the Toronto Stock Exchange continued its recent trend and fell 4.19 points to finish at 7,702.9 on Tuesday. The gold and precious minerals subindex fell 47.54 points to 4,872.62, while the metals and minerals subgroup gained 23.19 points to 4,405.15.

Two gold miners made the most actively traded list. Barrick Gold fell 25 to $25.50 on 1.74 million shares and Kinross lost 9, or 6%, to $1.40 on just more than 1.65 million shares. Also making news among the gold issues were Hope Bay Gold and Miramar Mining. Drilling by the two over the Madrid portion of the Hope Bay gold project in Nunavut has successfully expanded the Naartok and Suluk zones, which were discovered earlier this year. Hope Bay shares fell 2, or 5%, to 38. Miramar gained a nickel to $1.30.

Mid-tier producer Agnico Eagle Mines lost 6, closing at $12.94. The company has closed a public share offering of 9 million shares at $12 apiece to raise $108 million. The proceeds are earmarked for an expansion to 7,000 tons per day at the LaRonde gold mine in Quebec and for general corporate purposes, including possible acquisitions.

Sherritt International outpaced the rest of the country’s base metal issues with more than 1.27 million shares changing hands. The stock gained 2 to $5.62. Alcan was next in line, gaining 59 to $61.49 with about 767,000 shares traded. Other gainers included Noranda, 8 higher at $16.91, and Aur Resources, which gained 8 to $2.95.

In Uranium news, Cameco gained 18 to $36.30. The company has announced that the federal government passed legislation allowing more foreign ownership of Canadian shares. The company is the exclusive supplier of fuel to the Bruce reactors in southwestern Ontario, where it is partnered with British Energy. The two plan to run six reactors at the site, which would account for about 15% of Ontario’s electricity capacity. Currently, only four out of eight reactors there are running.

Canada’s junior exchange opened lower and continued on a downward spiral throughout the day. The Canadian Venture Exchange slumped 25.46 points, or 0.8%, to close at 3,275.90. The Mining Index dropped 9.03 points, or 0.1%, to close at 7,323.44.

Kensington Resources lost ground for a second straight day, dropping 6 to close out at 77 on 419,128 shares. The company is a joint-venture partner in the Fort la Corne Diamond Project with DeBeers Canada Exploration, Cameco and UEM.

Pan Asia Mining touched a new 52-week low of 4, down 1 on the day with 373,000 shares changing hands. The company has a number of delinquent fliers outstanding at the CDNX and is reportedly operating the 701 diamond mine in China.

Shares in Rhonda took a breather following recent gains, ending the day unchanged at 60 on a volume of 200,800. The company reported that the first three holes of a planned five-hole drilling program over the Knife pipe cut significant intervals of kimberlite.

Tiberon Minerals ended the day flat at $1.98 on a moderate 55,000 shares. Investors appear to be waiting for additional drill results from the company’s Nui Phao tungsten-gold-copper-bismuth project in Vietnam.

Shares in Philex Gold swung wildly on no new developments. After plunging 60 from its inter-day 52-week high on Friday, stock in the junior ended the day up 16 to $2.14 on a moderate 70,200 shares. Investors appear to be weighing the significance of the Boyongan copper-gold discovery in the Philippines against the company’s heavy debt load.