Vancouver Stock Exchange El Condor making Kemess moves

The Vancouver composite and resource indices retreated during the period ended May 14. The resource index shed 3.37 points to finish at 530.87, while the composite index dropped 4.30 points to settle at 572.74.

Gold bullion continued to trade in the US$355-360-per-oz. range in what the optimists view as a trend of base-building.

The South Kemess property in north-central British Columbia continues to generate news. El Condor Resources plans to buy Kennecott’s interests in both the South Kemess property and the adjoining North Kemess prospect. This comes on the heels of El Condor’s takeover offer for St. Philips Resources, 40% owner of South Kemess after El Condor’s earn-in.

El Condor edged up 23 cents during the report period to close at $2.65, while St. Philips pulled back to $1.06 from the previous week’s close of $1.13. Covenant Resources, which plans to merge with El Condor on a 1-for-1-share basis, finished at $2.60, up 25 cents.

Bonaventure Resources did well over the period, jumping 70 cents to $1.78. The company plans to begin processing calcium carbonate from its property near La Rumorosa, Baja California, Mex.

The release of a positive prefeasibility study on the Fort Knox property near Fairbanks, Alaska, seemed to help 51% owner Fairbanks Gold. The issue gained 38 cents to finish the period at $7.25.

A move by Canarc Resource to acquire 37% of the outstanding shares of Suntac Minerals, through a number of share placements, gave both issues a nudge. Suntac gained four cents to finish at 45 cents while Canarc edged up three cents to close at $1.35.

Canarc also announced drilling plans for its 33.3% owned GNC property in the Eskay Creek area of northwestern British Columbia. Canarc’s joint venture partners, Prime Resources Group and Stikine Resources, plan a $650,000 program this summer which will include a minimum of 6,500 ft. of drilling.

Sutton Resources released the first hole from its drilling program on the Kabanga nickel project in Tanzania.

Preliminary reserves are estimated to be 40.5 million tons grading 1.05% nickel, 0.21% copper and 0.11% cobalt, with the deposit remaining open in all directions. The first hole returned a number of intersections including 76.4 ft. grading 1.85% nickel, 0.28% copper and 0.20% cobalt. Sutton added 13 cents to close at $5.50.

Following the severing of ties with Red Lion Management and Grand Mesa International, Quattro Resources is finished with mining and exploration and plans to enter the beverage market. The issue finished the week down 85 cents at $1.80.