Trading Summary (July 25, 2001)

Better-than-expected, second-quarter results from telecom giant BCE and electronics manufacturer C-MAC Industries helped buoy the Toronto Stock Exchange on Wednesday as the tech-heavy industrial products subindex regained 65.72 points or 1.7% after three straight days of losses. The gold issues suffered a sell-off falling 91.62 points or nearly 2%, but the base metal issues managed to reverse their recent fortunes by gaining 102.48 points or 2.6%. Overall, the TSE’s 300 composite index rose 37.29 points to end at 7,623.8.

The base metals themselves were not so fortunate with losses nearly across the board at the London Metal Exchange. Tin was the lone gainer rising US$40 per tonne to US$4,140 per tonne. Similarly in New York, platinum was alone in rising US$7 to US$503 per oz.

Placer Dome and Barrick Gold both grabbed spots on the TSE’s most active list. Placer dropped $1.21 or 6.8% to $16.49 with more than 2.5 million shares traded, and Barrick shed 15 to $23.95 on about 2.1 million shares. On Wednesday, Placer posted a profit of US$49 million, or 15 per share, for the first half of 2001, compared with a loss of US$42 million, or 13 per share a year earlier.

The rest of the golds performed about as well. One exception was Meridian Gold, which climbed 88 or 7.4% to $12.79. On Wednesday, the Reno, Nevada-based company posted flat second-quarter net income of US$10 million on revenue of US$27.8 million. During the same period of 2000, the company earned US$10 million on US$32.9 million in revenue.

Recently merged Teck-Cominco was the busiest base metal miner with more than 1.6 million shares changing hands. The issue edged up 2 to $12.25. Other gainers in the group included Breakwater Resources, Alcan and uranium producer Cameco, all of which rose more than 3%.

Canada’s junior exchange managed to post modest gains despite a 1% fall in mining-related issues. The Canadian Venture Exchange composite tacked on 6.87 points, or 0.2% and closed the day at 3,080.57. The Mining Index gave back yesterday’s gains, falling 76.76 points, or 1% and closed at 7,292.61.

Despite no new developments, shares in Philex Gold went on a roller coaster ride falling 22 at the open before recovering to end the day at $1.25, up 17 on a heavy volume of 362,400 shares. The junior’s joint-venture partner, Anglo American has three rigs turning on the promising Boyongan copper-gold discovery in the Philippines.

Starfield Resources ended the day flat at 55 on 149,700 shares. The company is expected to release an updated resource calculation for the Ferguson Lake nickel sulphide project in Nunavut any day now.

Spider Resources ended the day flat at 5 on with 456,200 shares traded. The junior has a stake in the Kyle #3 kimberlite in the James Bay lowlands as well as copper-nickel projects in the Springer-Lavoie Lake region of northwestern Ontario.

New Blue ribbon Resources bounced off recent lows, gaining 1 to 10 on 255,000 shares. The Edmonton-based company’s joint-venture partner BHP Diamonds is working the Moose diamond project in Manitoba.