Western markets bullish as composite jumps

Vancouver — Canada’s junior exchange closed the week ended Feb. 25 on an uptick. The S&P-TSX Venture Exchange composite index jumped 14.93 points, or 1.37% of its value, to close at 1.103.26.

Stornoway Ventures and Northern Empire Minerals were the market darlings again. Shares of Stornoway closed up 12 to $1.46 on a volume of 5.2 million, whereas Northern Empire closed at $1.46, up 39 on more than 4 million shares. The partners have traded heavily since announcing the discovery of two diamond-bearing kimberlites on the Melville Peninsula in Nunavut. Northern Empire recently agreed to sell to Canaccord Capital a bought-deal private placement of 3.5 million units priced at $1.50 each for gross proceeds of $5.25 million.

American Bonanza Gold Mining lost 5 and closed at 28 on 3.9 million shares. The company has completed its 1,608-ft. drill program on the Pamlico project in Nevada. Highlights include 1.62 oz. gold per ton over 3 ft. and 2.79 oz. gold over 1 ft.

First Au Strategies closed flat at 14, with 3.6 million shares crossing the floor. The company has arranged a private placement of up to 12 million units at 10 per unit for gross proceeds of up to $1.2 million. The units will consist of flow-through units and non flow-through units, with proceeds earmarked for exploration and drilling on the Argosy Mine property in Ontario’s Red Lake district and the Thorn property in northwestern British Columbia. First Au is earning a 51% stake in each of these properties.

ECU Silver Mining finished the week steady at 8 on a volume of 2.6 million shares. Early in February, the company resumed production at the Santa Juana mine in Mexico. ECU expects minimal recoveries of 65% for silver and 75% for gold at the outset, improving to at least 75% and 85%, respectively.

Donner Minerals closed up 6 to 25 with just over 2 million shares traded. The company was expecting drilling to begin on the Stephens Lake project in Manitoba by presstime. The program will focus on targets identified by an airborne geophysical survey and verified by ground magnetic and electromagnetic surveys.

Moving to a new 52-week high, Wolfden Resources added 25 to its value and finished the week at $2.27 on 1.9 million shares. The company recently began driling on the East Bay gold property in the Red Lake camp.

Tom Exploration closed at 46, up 8 on 1.8 million shares. The company recently closed a private placement in order to finance exploration of the Kelly Lake property in the Belleterre camp.

Spider Resources closed up 2, to 7, on a volume of 1.6 million shares. The junior holds diamond properties in the James Bay Lowlands in northern Ontario, as well as the Wawa project in central Ontario with joint-venture partner KWG Resources. In Brazil, Spider is a partner in the Alto Paranaiba project.

Diagem International Resource lost 3 and closed at 27 with 1.5 million shares traded. The company holds several diamond projects in Brazil and is processing diamonds from gravel deposits at a pilot plant. The junior recently raised $930,000 from the exercise of 3.5 million warrants priced at 26 per share.