Vancouver Stock Exchange (January 06, 1992)

The end of 1991 capped a year dominated by “shooting stars,” issues whose share prices peaked on great expectations only to be slammed to the basement when prospects fizzled.

Eurus Resource and Thios Resources were high on the expectation list at the start of 1991 with a $1.5-million exploration program for their Rock & Roll property in the Iskut River area of northwestern British Columbia. Eurus hit a high of $3.55 before less-than-stellar assays brought the stock back to the $1.50 level. Thios reached a high of $1.25 before selling off to sit at its current price of about 12 cents.

Eurus managed to postpone its ultimate slide with the negotiation of an earn-in deal on the Spectrum property in northwestern British Columbia from Columbia Gold Mines.

Drilling on the property returned a number of high-grade gold values, propelling Eurus back over the $2 level and Columbia to a high of $1.33. The results, however, did not prove enough to sustain the issues which slipped into prolonged slides to end the year near 52-week lows. Eurus now sits at the 42 cents level, while Columbia closed at 36 cents.

Numerous other companies with projects in northeastern British Columbia experienced similar fates. One of the more disappointing programs was on the SIB claims near Eskay Creek by partners American Fibre and Silver Butte Resources. Followup drilling on a high-grade gold intersection from the 1990 drilling season turned up poorer-than-expected results, pulling the rug out from under both issues. Silver Butte, which traded as high as $1.69 during the year, finished 1991 marginally above its low of 17 cents, while American Fibre closed at 25 cents, a nickel above its low.

Springer Resources and Cove Resources disappointed investors looking for an “Eskay Creek-sized” deposit from the company’s Coul 3 claim block in northwestern British Columbia. Springer managed a high of $1.79 while Cove touched 69 cents before discontinuous drilling results killed the issues. Springer finish the year at 17 cents while Cove closed at 10 cents. Galico Resources touched a high of $3.35 during the year but unexciting results from its Metla Creek property in northern British Columbia created a slow erosion even before their release, pushing the company to a low of 20 cents. Recent plans of a copper-gold acquisition in Jamaica brought the company back up to 88 cents.

News of wide massive sulphide intersections on its property in New Mexico boosted Vera Cruz Minerals to a short-lived high of $3 before Galico decided to pull out of an earn-in deal after completing a due diligence review. In keeping with the general trend, the stock now trades at 70 cents, marginally higher than its year-low of 55 cents.