Trading Summary (October 22, 2001)

After dipping more than 49 points on Monday, the Toronto Stock Exchange regained ground in the afternoon to finish down just 5.76 points at 6,905.2 points. The Gold & Precious Minerals subindex suffered the largest percentage drop, 2.7%, as gold dove on a stronger U.S. dollar. Also seeing about 2% shaved off their value were the Financial Services and Real Estate & Construction sectors. Leading the nine advancing subindices on the TSE was the Metals & Minerals subgroup, which tacked on nearly 3.3% or 115 points.

Gold led the slumping precious metals downward in New York. The yellow metal dropped US$4.50 per oz. to US4274.90 per oz. Silver shed a nickel to US$4.19, platinum dropped US$10 to US$418.oo per oz., and palladium lost US$2 to US$316 per oz.

Barrick Gold was the nation’s busiest gold issue falling 49 to $24.60 on more than 2.5 million shares. Kinross Gold managed to gain 1 to $1.38 on about 1.9 million shares, Placer Dome fell 85 to $17.20 on more 1.3 million shares and Franco Nevada Mining lost 17 to $22.25. Most of the others performed similarly.

All of the base metals, except Aluminum, were lower in Europe on Monday. The country’s base metal miners were a quiet and mixed bunch. Teck Cominco saw the most action gaining 12 to $10.02 on just less than 2.5 million shares. Next in line was Inco, which gained 16 to $21.87 on just more than 810,000 shares. Falconbridge gained a dime to $14.20 and Alcan rose $2.49 to $49.99. On the minus side were Aur Resources, off a nickel to $2.45, Sherritt International, 4 lower at $4 and Noranda, which dropped a penny to $14.05.

On Monday, Noranda announced that it will close its American Racing Equipment aluminum wheel plant in Warsaw, Kentucky and lay off 200 people. The company cites weak demand in the North American automotive industry for the move. The plant is slated to close by the end of 2001, and output will be shifted to other facilities in the U.S. and Mexico.Canada’s junior exchange managed to start the week off on a positive note as all indices closed solidly in the black. The Canadian Venture Exchange ended the day up 25.57 points, or 0.9% to finish the day at 2,925.46. The Mining Index tacked on 19.76 points, or 0.3%, to close at 7,383.47.

Zarcan International Resources dropped 5 to 35 on 500,000 shares. The junior recently announced a $1.2 million financing. The company has been busy advancing its gold projects in Iran, as well as a diamond project in Brazil.

Continuing to move higher, Sultan Minerals jumped 5 to 51 on 280,500 shares. The junior is currently drilling the Gold Mountain zone on its Kena gold property near Nelson, BC. The latest hole returned 172.1 grams gold over a 2-metre interval.

Masuparia gold added 1 to close at 11 on 145,700 shares. The junior is currently drilling the Greywacke property just north of La Ronge Saskatchewan. The latest results included 11.3 grams gold per tonne over 5.7 metres in hole 45.

Quaterra Resources gained 1 to end the day at 23 on 202,800 shares. Assay results are pending from the recently completed drill program over its Union Bay platinum project in Alaska. The Thomas-Patton-led company also announced a $198,000 financing.

Oliver Gold popped back on to investors radar screen after announcing a proposed merger with privately-held Hastings Resource. Hastings holds the rights to the Ona-Puma nickel laterite property in Brazil. Despite a proposed roll-back of shares on a 9.3-for-1 basis, Oliver added 4 to 20 on a volume of 224,000.