Alberta Stock Exchange Disputes affect stocks

On a week when Alberta gold stocks awoke from recent slumbers, allegations of fraud and breach of contract affected a couple of issues quite differently.

News that Mohave Gold will retain a 100% of its Pilgram Mine in Nevada, despite an alleged payment default by joint venture partner Galli Explorations, has boosted the stock.

Riding on a volume of 403,500 shares traded, Mohave Gold was up 17 cents to close at 50 cents . Indicated reserves of 1 million tons averaging 0.05 to 0.10 oz gold per ton means there is potential for a large, open-pit, heap-leach mine on the property.

However, a similar dispute involving McSev Exploration and Blue River Mines had an adverse effect on the McSev issue. It dropped by 7 cents to close at 28 cents on a volume of 383,800 shares traded. Due to McSev’s alleged non-payment of a $15,000 exploration deposit, Blue River says the former company can no longer earn a 49% working interest in a Calcite deposit near Kamloops, B.C.

Encouraging results from underground exploration at Jascan Resources’ Pansilver joint venture project in Cobalt, Ont., has sent the issue up by 20 cents . It closed at $3.60 on a volume of 47,500 shares traded.

Jascan currently holds a 70% interest in the property which has produced vein assays as high as 1757.66 oz silver per ton. Pancontinental Mining holds the remaining 30%.

The Golconda Resource issue also responded well to a recent series of property acquisitions in California. It was up 10 cents on a volume of 44,500 to close at $1.45.

The acquisitions included a farm-in agreement, with Homestake Mining covering the 85 claim Star City property near the California/Nevada border. Golconda must spend $2 million to earn a 40% working interest.

Coxheath Gold Holdings rose 15 cents to close at $1.35 following the discovery of a new gold bearing zone on its Tangier property 50 miles northeast of Halifax, N.S. Recent assays of drill core from two holes located 575 ft apart, have returned grades averaging 0.404 oz over 614 ft.

According to President Michael Riddell, the new zone is not located within a block containing 1.9 million tons of reserves grading 0.27 oz gold.

Bay Resources was down 9 cents to close at $2.80 despite the discovery of a 700 ft gold bearing quartz vein at its Duverny Twp. property near Amos, Que. Bay has a 75% working interest in the property while the remaining 25% belongs to Jilbey Industries. The Jilbey issue was down 11 cents to close at $ 2.35 on a volume of 54,900 shares traded.