STOCK MARKETS — Juniors take a beating as VSE composite drops for second straight week — Winspear recovers ground following kimberlite intersection in Northwest Territories

Junior mining stocks were battered over the report period ended April 15.

The Vancouver Stock Exchange composite index closed down 55.59 points, or 5.06%, to 1,043.44, whereas the resource index fell 138.37 points, or 6.99%, to finish at 1,842.47.

The combined value of the Alberta Stock Exchange was down 121.12 points, or 4.57%, to 2,530.41.

Winspear Resources came out of its tailspin after intersecting 107 metres of complex kimberlite breccia at its 57.3%-owned Camsell Lake diamond project in the Northwest Territories. Winspear was the most active issue on the VSE during the report period, jumping 85 cents to close at $2.13. Toronto-listed Aber Resources holds the other 42.7% interest in that project.

A drill program is set to begin north of Camsell Lake, at the Mackay Lake and Back Lake diamond joint-Venture projects of Toronto-listed SouthernEra Resources. Six key indicator mineral trains with lengths varying from 1 to 7 miles have been identified. The mineral trains end in the vicinity of two lakes, where circular magnetic targets have been identified. There are at least 12 high-priority lake targets in the area.

Toronto-listed Falconbridge has struck a deal with International CanAlaska Resources and Alberta-listed Columbia Yukon Resources to explore VBE-1, which adjoins the eastern boundary of the Voisey’s Bay discovery block in Labrador.

International CanAlaska was up 22 cents at $1.04 and Columbia Yukon added 5 cents at 63 cents.

Hixon Gold Resources traded as low as $4.25 before closing at $4.85, for a loss of 95 cents. Anomalous surface sampling results from a property beside the company’s Stenpad property in Ghana appeared to make investors nervous.

Hixon has reported high-grade gold values from limited, ongoing hand trenching on the Stenpad property. The company has armed itself with $2.7 million from a 500,000-unit private placement with Golden Rule Resources, its Toronto-listed parent company, which holds a 50% back-in right to Stenpad.

The proceeds will be used for to explore holdings in Ghana.

Plans by Starpoint Goldfields to become an alluvial diamond producer have been shelved following the junior’s failure to secure financing to acquire the Yetwene diamond concession in Lunda Norte, Angola. Starpoint took a 27 cents hit, dropping to 25 cents.

Joint-Venture partners Greystar Resources and Churchill Resources edged downwards on the release of drill results from the Angostura gold project in northeastern Colombia. Greystar slipped 11 cents to 86 cents, and Churchill was down 7 cents at $1.

Market conditions prompted Norcal Resources to cancel a previously announced $2.8-Million special warrant financing. However, the company has sufficient capital to complete the first phase of exploration at its Norgiant project in northwestern Quebec. That program is expected to begin in June. Norcal slipped 3 cents to 62 cents, while partner Gold Giant Minerals closed at 40 cents, down 2 cents.

The Snippaker Mountain property, which is adjacent to the Snip gold mine property in northwestern British Columbia, has been optioned to Toronto-listed Prime Resources Group. It is currently held 60% by Winslow Gold and 40% by Toronto-listed Royal Oak Mines. Prime can earn a 55% interest by paying $200,000 and spending $1.25 million over three years. Winslow finished down 2 cents at 53 cents.

Nu-Apex Energy climbed 55 cents to $1.65. The company is actively involved in exploring for gold and copper in Nevada.

Alberta-listed Gitennes Exploration dipped to $6.15 before settling at $6.85, a loss of 40 cents. The company is proceeding with plans for a second phase of drilling at its Virgen gold property in Peru.

Sutton Resources was off $5 at $22. The company is the midst of an exploration and development program aimed at advancing its Bulyanhulu gold project in Tanzania to the final feasibility stage.