Trading Summary (July 16, 2004)

Gold closed up US$3.15 on July16th, to finish at US$406.30 per oz. in the afternoon in London. The gold index was down by 0.47%, or 0.96 point, to close at 201.28. The diversified metals and mining index was up 0.68%, or 1.54 points, to close at 228.25 points. The S&P TSX composite index was down 0.56%, or 46.85 points, to close at 8,350.46 points.

Five mining stocks traded over 2 million shares each.

Noranda led the way in volume, trading 4.9 million shares. The stock rose 3.77%, or 87, to close at $23.95. The high volume was based on a rumour in the Brazilian press that China Minmetals is going to offer $20 per share (or $6 billion) for Noranda.

Wheaton River traded second in volume. It was down 2.05%, or 8, to close at $3.82 on a volume of 3.97 million shares. Wheaton announced yesterday that it plans to sell all of the silver produced from its Luismin mining operations in Mexico to Chap Mercantile). Wheaton will own 80% of Chap, which will be renamed Silver Wheaton. In related news Coeur d’Alene has offered 0.796 of one of its shares or $5.47 in cash, up to a limit of $570 million in cash, for each share of Wheaton. If all of Wheaton’s shareholders elect to take the cash, they would be limited to $1 per share, with the balance made up of Coeur shares.

Bolivar Gold traded third in volume, exchanging 3.57 million shares. The stock rose 0.78%, or 1, to close at $1.30. There was no news to account for the high volume.

Eldorado Gold traded 2.68 million shares. The stock fell 2.19%, or 8, to close at $3.58. Eldorado announced yesterday that the Turkish government has passed legislation exempting gold production from Value Added Tax. This affects the bottom line for Eldorado’s 100%-owned Kisladag gold project, where the internal rate of return will now be 43% at a US$350 per oz gold price.

Sherritt traded 2.3 million shares, rising 1.89%, or 14, to close at $7.55. There was no news to account for the high volume.

Queenstake Resources gained13.7%, or 7, to close at 58, on a volume of 1.76 million shares. On July14, Queenstake reported a 26% increase in production over the first quarter at their Jerritt Canyon mine in Nevada.

Jaguar Nickel lost 11.2%, or 5.5, to close at 43.5. Two days ago they reported that in recent drilling on their Sechol nickel-cobalt project in Guatemala over 67% of the holes contained intercepts greater than 1.50% nickel. 33 out of 40 holes contained intercepts with grades of at least 1% nickel.