Stock Markets (June 08, 1992)

Both the Vancouver Stock Exchange resource and composite indices continued to gain ground during the week ended June 2 with diamond exploration remaining the “special of the week”.

The composite index finished up 10.97 points at 628.94 and the resource index managed a 13.20-point gain to close at 543.12.

Dia Met Minerals, a central player in the Northwest Territories with partner BHP-Utah Mines, added 12 cents to close at $15. Investors await further news from the companies’ Point Lake property.

Although the companies announced a recovery of a combined weight of at least 90 carats of diamonds from a 160-ton bulk sample, an analysis of the diamonds and an estimate of value have not been completed.

Commonwealth Gold, which holds an interest in claims adjoining the Point Lake property, added 6 cents to close at 40 cents.

Joint venture partners Dentonia Resources, Kettle River Resources and Horseshoe Gold Mining continued to add value for the most part with Kettle River up a dime at 65 cents, Dentonia up 11 cents at 39 cents and Horseshoe unchanged at 85 cents. The companies recently announced the acquisition of three claim blocks in the area.

Canadian Overseas Exploration, which is searching for diamonds off the coast of Namibia, jumped 32 cents to close at 81 cents.

Diamond fever continued to propel volume for Texas Star Resources, which traded close to 1.5 million shares. The issue managed to touch a new high of $1.85 before edging back to $1.73 for a modest gain of 8 cents. Texas Star announced signing a letter of intent with Continental Precious Metals to purchase all of that company’s interest in Continental Diamonds. The deal would see Texas Star own a 100% interest in Continental Diamonds, which holds a 25% interest in the diamond exploration program now under way in the Crater of Diamonds state park in Arkansas.

Not to be left out of the diamond play in the Northwest Territories, Texas Star and Continental Precious Metals are also negotiating with a third party to acquire an interest in certain properties.

Armenex announced it has started negotiations to lease and acquire mineral properties in the state of Arkansas. The issue added 8 cents to finish at 25 cents.

Diamond explorer Hemisphere Development edged up 2 cents to finish at 73 cents. The company is testing a 1,100-ton bulk sample from its 80% owned Leopold Downs property in northern Australia.

Following up the numerous news releases referring to visual sightings of copper sulphide mineralization during drilling on their Wood property near Kamloops, B.C., Lakewood Mining and Green Valley Mine reported assay results from two holes. Unfortunately, grades were so low that they were reported in parts per million, although hole No. 5 did return two 1-ft. intervals at 900 ft. and 907 ft. grading 0.24% and 0.33% copper, respectively. Both issues took a tumble on the news, with Lakewood more than halving to 52 cents from the $1.15-level and Green Valley dropping 38 cents to 41 cents. The companies say drilling is continuing.

After hitting highs for the year of $2.35 and $1.25 respectively, Riviera Explorations and Yellow Point Mining announced their planned acquisition of a gold property in southwestern Czechoslovakia. The issues failed to hold their ground, however, with Yellow Point closing off 45 cents at 80 cents and Riviera down 72 cents

at $1.63.

A promotion contract with a U.S. marketing firm appeared to help Miramar Mining. The issue hit a high for the year of $1.60 before closing at $1.39 for a gain of 19 cents. The company expects to have its former Flowery gold-silver mine in Nevada back in production by the beginning of August.