Trading Summary (April 22, 2004)

The Toronto Stock Exchange pulled out of its recent slide by gaining 106.93 points to end Thursday’s trading session at 8,697.98 points. The golds grabbed 4.29 points, or 2.2%, to make 203.8, but the diversified crowd stole the show with a 9.42-point rise to 217.30.

Barrick Gold saw its first-quarter earnings slipped by 10% to US$26 million (or 5 per share), compared with year-ago earnings of US$29 million (5 per share). The drop is partially attributed to a US$10 million after-tax loss on its silver derivative position. The issue added 76to make $28.81.

Shares in Goldcorp fell 63, or nearly 4%, to $16.19 after the mid-tier gold producer announced the surprise resignation of two key executive. Departing are the company’s chief operating officer Bruce Humphrey, and corporate development executive Chris Bradbrook. No reason was given for either departure. The news accompanied GoldCorp’s first-quarter earnings, which totalled US$17.3 million (or 9 per share), compared with year-ago earnings of US$14.2 million (8 per share) during the corresponding period of 2003. Revenues climbed slightly to US$48.3 million.

Cumberland Gold rose a dime to $1.95. On Wednesday, Cumberland said it has begun a two-phase drilling program on its Meadowbank gold project in Nunavut. In all, 12,000 metres of drilling will aim to expand existing gold deposits, test new targets, and complete grassroots exploration along 25-km-long gold trend at Meadowbank. The company has four drill rigs running, and has budgeted $4.7 million for the year’s exploration.

A late-day surge pushed shares in Semafo 15, or 19%, higher to 95. On Wednesday, Semafo posted a loss of $8.2 million (or 11 per share) for 2003, compared with a year-earlier net loss of $1.1 million (1 per share). The latest loss includes an unrealized loss on deferred forward contracts totalling $1.8 million, bad debt of $1.6 million related to the value added tax in Guinea, the write-off and write-down of assets totalling $1.15 million and an increase in operating costs.

On the base metal side, Inco posted first-quarter adjusted net earnings of US$229 million ($1.21 per share), compared with adjusted net earnings of US$64 million, (31 per share) for the first quarter of 2003. The shares gained $1.27, or about3%, to reach $45.27. Alcan shares advanced $1.34, or 2.3%, to $58.94 after the aluminum giant declared a quarterly dividend of US15 cents per common share, payable on June 18, to shareholders of record at the close of business on May 20. The company also said it took in a record US$1.8 billion in cash from operating activities during 2003, despite “a turbulent environment defined by a soft economy, mixed metal prices, volatile currency markets and intense cost pressures.”