Montreal Exchange Hot zone for VSM

The latest results from the drilling program at zone 97 of the Grevet zinc prospect southeast of Matagami, Que., have VSM Exploration and project partner Serem-Quebec excited. Indications are the zone is more than 500 metres in length and depth and, according to the companies, should add substantially to the current reserve estimate. Two drills are at work at the zone. Trading 8,500 shares, VSM closed unchanged at 99 cents for the week ended Oct. 30.

The stock market turned down during the report period, with the market portfolio slipping by almost 25 points and the mining and minerals index dropping by 23.7 points. Daily trading volumes ranged between 3.9 million and 6.2 million shares.

Audrey Resources recently began a new surface drilling program at its Mobrun polymetallic property near Rouyn-Noranda, Que., in an effort to uncover additional deposits. Any new finds will be shared equally by Audrey and joint venture partner Minnova. Trading 27,700 shares, Audrey fell 9 cents to $2.65. Minnova, trading 5,100 shares, closed unchanged at $15.50.

Recently negotiating a preliminary option agreement with Minnova, to earn a 50% interest in the Chabot property near Rouyn- Noranda, was Ressources Minieres Forbex. The Chabot property lies adjacent to Forbex’ Bazooka property. Forbex was 10 cents bid, 35 cents ask on the week.

Already a major landowner in the Val d’Or area of Quebec, Aur Resources has concluded a deal with Belmoral Mines to purchase a 50% interest in the latter’s Bourlamaque property, including two gold mines and mill, near the city. Aur, trading 25,000 shares, slipped 14 cents to $3.25. Belmoral, which has been fighting to overcome financial problems, gained 1 cents to 21 cents on a volume of 33,200.

A long-term credit facility worth $1.5 million, negotiated with Dynatec Mining, has allowed Armistice Resources to reduce its current liabilities. For security, Armistice used its landholdings at Virginiatown, Ont. Armistice gained 4 cents during the week to 20 cents with 59,500 shares changing hands.