Vancouver Stock Exchange Rhodes shines in dismal market

A jump of US$10 per oz. in the price of gold over the past week in concert with Saddam Hussein’s threats to use long-range missiles on Israel have done little to renew confidence in the Vancouver market. The Composite Index shed 7.37 points while the Resources Index plunged 32.46 points to finish at the 643-level.

Conflicting rumors over the status of Murray Pezim’s self-imposed “retirement,” a general lack of exciting exploration news, and investor skittishness over PrimeTime Live’s rather one-sided report on the Vancouver Stock Exchange are likely contributors to the malaise during the week ended Oct. 9.

Consolidated Rhodes Resources provided a bright spot in an otherwise dismal market with a jump of 33 cents on over 1.8 million shares. The issue reached a high of $1.88 before finishing at $1.73.

The company is currently drilling the Copper Canyon copper- gold property in the Galore Creek area of northwestern British Columbia. Drilling has cut long intersects of over 1% copper plus over 0.01 oz. gold per ton. Consolidated Rhodes is earning a 50% interest in the property from Canamax Resources.

Moondust Ventures is also hunting for copper, with reports of intersections of major porphyry systems on its Webb property in the Mount Milligan area of central British Columbia. Grades appear to relatively low, however. The best result is a 300-ft. intercept assaying 0.05% copper with trace gold and silver. The issue dropped 50 cents to finish at $1.

Digger Resources took a hit over the period dropping to $3 from $4.25. Rio Algom recently announced that it would not be exercising a right to buy 600,000 shares of the company. Digger is presently exploring its Chuchi Lake property in the Mount Milligan area with partner BP Resources.

Goldnev Resources reached a high of $1.23 before settling at $1.03 for an increase of 43 cents. The company is planning to conduct a $1-million exploration program in the vicinity of the Goldstream mine near Revelstoke, B.C., with partner Bethlehem Resources. Bethlehem rose 10 cents to finish at 45 cents.

Cal Graphite fared poorly over the reporting period, dropping 3/4 to $5 1/2. The issue price has experienced a steady erosion from over $10 per share this summer.

Viceroy Resources bucked the general trend, closing the period at $5 5/8 following the announcement that it had final regulatory approval for its Castle Mountain heap leach gold project in California. In the week prior to approval, the stock traded as low as $4.20.

The initial excitement over a number of overseas joint ventures announced by Sutton Resources earlier this year appears to have cooled somewhat. The issue closed down 80 cents, and it finished the period at $3.05.

Adrian Resources rebounded over the week, closing up 31 cents at $2.51. Drilling is continuing on the company’s claims north of the Eskay Creek property in northwestern British Columbia.

Prime Resources is beginning to look like a utility stock as it continues to put in a steady but boring performance, stuck at the $5.50 level.