Vancouver Stock Exchange (August 05, 1991)

The VSE managed to reverse its prolonged downward trend during the period ended July 30. The composite index added 6.36 points to finish at 562.32, and the resource index followed suit with a 5-point gain to 544.78.

Columbia Gold Mines was extremely active during our report period, trading more than 100,000 shares per day on speculation over recent drilling on the Spectrum property in northeastern British Columbia.

The company announced the intersection of coarse visible gold in a number of drill holes and was awaiting assays results.

Columbia finished the week up 22 cents at $1.11. Eurus Resource, which is earning a 50% interest in the property, added 15 cents to close at $1.75. In the absence of further news on a possible takeover, Fairbanks Gold slipped 50 cents to $7.50. The company recently announced it is in exclusive negotiations with a major mining company regarding the purchase of the company.

Taseko Mines, which is also courting takeover offers, rebounded nicely from a low of $3.35 during the week. The issue closed at $4.30 for a gain of 60 cents.

The release of better drilling results from the SIB claims in northwestern British Columbia did not seem to help partners American Fibre and Silver Butte Resources. The SIB property is located immediately south of, and adjacent to, the Eskay Creek project owned by Prime Resources Group and Stikine Resources.

Recent drilling intersected 26.3 ft. grading 0.31 oz. gold and 23 oz. silver per ton in hole 91-24, plus 41.1 ft. grading 0.36 oz. gold and 37 oz. silver in hole 91-25.

Poor drilling results earlier this month more than halved the share prices of American Fibre and Silver Butte from the $1.40 level. The former finished the period up three cents at 78 cents while Silver Butte closed at 65 cents for a 10-cent gain.

NDU Resources released further assay results from drilling on its Blende property in central Yukon. The results included a number of wide intersections similar to previous results in the range of 4-5% combined zinc-lead.

NDU gained a nickel to close at $1.15. Billiton is funding the program in order to earn a 50% stake.

Yellowjack Resources did well, gaining 33 cents to finish at $1.73. The company released a number of wide, low-grade, copper-gold intersections at its Katie property near Salmo, B.C. Two units of Noranda can earn a combined 51% interest in the property.

News that the first two drill holes on the MM100 property had bottomed in “mineralization” seemed to help owner KRL Resources, which jumped 40 cents to close at 85 cents. The property, near Stewart, B.C., has a number of high-grade precious and base metal showings.