Junior exchange soars to new highs

Vancouver — Canada’s junior exchange surged forward over the week ended Nov. 4 as resource stocks continued to spark investor interest. The S&P-TSX Venture Exchange composite index rose 92.8 points, or 6.2% of value, to finish the period at 1591.35.

Inca Pacific Resources added 12 and closed at 27 with 10.4 million shares traded. The junior recently completed an 1,870-metre drill program on the Antoro Sur copper project in central Peru. Highlights include 18.3 metres grading 1% copper in hole 16.

Having just closed a $1.2-million financing, Sparton Resources has gone back for more. The junior agreed to sell 2.2 million special warrants at 70 apiece. A special warrant consists of one share and one warrant exercisable at 87 for two years. Kimberlite indicator minerals have been found in till samples taken from Sparton’s wholly owned property in the Otish Mountains of northern Quebec. Shares closed at $1.25, up 54 on a volume of 9.7 million.

American Bonanza Gold Mines tacked on 3 and closed at 43 with 6.5 million shares traded. The junior has an underground rig turning on the Copperstone gold project in Arizona and a surface rig on the Gold Bar property in Nevada.

Pacific Minerals soared $1.96 to $4.80 with 5.7 million shares traded. A newly restructured deal will allow the junior to retain at least half of its flagship Chinese projects. Toronto-listed Ivanhoe Mines has elected to reduce its maximum earn-in rights for the 217 and Dangong gold projects, as well as the JBS platinum-palladium project to 50% from 80%. The company has also agreed to transfer to Pacific Minerals half of its stake in the Shuteen exploration licence in southern Mongolia. The 93-sq. km property is 100 km east of Kharmagtai. Ivanhoe acquired the right to earn an 80% interest in Shuteen in early 2002 by spending US$1.5 million to the end of 2004. So far, Ivanhoe has spent US$1.4 million on the project. In return, Pacific Minerals will issue Ivanhoe 2.5 million shares.

Bell Coast Capital added 33 to its value and closed at 50 with 5.6 million shares traded. The junior recently completed a reverse-circulation drill program on the Penas Blancas gold property in Peru. The 1,149-metre program returned only low-grade mineralization, including up to 0.23 gram gold over 9 metres in hole 3.

Bitterroot Resources closed at $1, up 69 with 5.6 million shares traded. The company just closed a non-brokered private placement of 1 million units priced at 20 per unit. A unit consists of one share and one non-transferable share purchase warrant entitling the holder to acquire one share of the company within two years at 30.

Hunter-Dickinson-led Taseko Mines finished the week at $1.08, up 33 with 5.1 million shares traded. The company recently announced a $2.5-million financing priced at 60 per unit with one 2-year purchase warrant attached to each unit priced at 75.

Disappointing drill results from the South Voisey Bay project sent shares in Donner Minerals falling. Three holes, totalling 1,275 metres, were drilled in the North Gabbro to test electromagnetic targets. The best result was a 7.9-metre intersection grading 0.14% nickel, 0.12% copper, 0.08% cobalt, and 14.13% sulphur. Donner dropped 4 and closed at 15 with 4.5 million shares traded.