STOCK MARKETS — Granges climbs to new high on news from

Shares of Granges Exploration got a jump start during the week ended Oct. 20 after its subsidiary, VSE-listed Hycroft Resources and Development, announced new reserve figures for the Crofoot/Lewis gold mine in Nevada.

Proven reserves at the open pit mine have increased by five million tons to 18.8 million tons, while a probable reserve of 25.5 million tons has been identified in the nearby Brimstone deposit.

Trading 2.38 million shares, Granges added 20 cents to finish the week at a 52-week high of $1.75. The Vancouver-based explorer holds a 67% interest in Hycroft and is owed $26.3 million by the subsidiary.

A gold deposit in Nevada is also at the root of a record performance by American Barrick Resources. The Toronto-based producer reported third-quarter earnings of US$49.5 million, up 76% from the same period last year. In addition, Barrick increased gold output during the first nine months of 1992 compared with the same period last year; at the end of September, total production stood at 838,711 oz., up from about 596,000 oz. last year. Cash operating costs during the first nine months of this year averaged US$176 per oz.

Euro-Nevada Mining, which holds royalties on some of Barrick’s richest Nevada properties, also recorded a significant jump in earnings to $1.6 million for the quarter.

Barrick finished the week up $1.50 to $38.38, while Euro-Nevada gained 37 cents to $17.50. Barrick settled at $38 today, (Oct. 21).

Redstone Resources, a royalty owner affiliated with Euro-Nevada, tacked on 20 cents to $4. Redstone, which has acquired a package of royalties on 12 former Anaconda Minerals properties in the U.S., recently announced a warrant financing designed to fund further royalty acquisitions.

Although the gold price remained virtually stagnant, closing the week in New York at US$344.25 per oz., the gold and silver index continued its long-term advance, adding 167 points to 5459 before giving up 28 points today. The broad market also improved somewhat during the report period, despite uncertainty over the economy and the constitutional referendum. The TSE composite 300 index added 46.5 points.

Today, the index picked up another 11 points as 25.7 million shares valued at $252 million changed hands.

Cameco responded smartly to news that the U.S. will block all uranium shipments from six republics of the former Soviet Union unless uranium trades at US$13 or more per lb. Uranium has been trading at about US$10 per lb. lately, up from US$8.75 in September.

Cameco, which closed up $1.38 at $16.63, sells 60% of its uranium to the U.S. The uranium miner tacked on another 13 cents to $16.75 today. On a gloomier note, Tri Origin Exploration saw its shares slashed in half by the death of its 56-year-old president, Dennis Sheehan. Tri Origin, which says it “will continue to implement the vision and plans” set out by Sheehan, was 75 cents bid, 85 cents ask at the end of the report period, compared with $1.16 at the previous week’s close.

Having clinched an agreement

with Australian diamond producer Ashton Mining, Pure Gold Resources gained a penny to close at 12 cents on a volume of more than one million. Ashton will provide expertise and has the option to finance advanced exploration on Pure Gold’s Lac de Gras properties.

Two of Canada’s largest companies will also join the race for diamonds in the Northwest Territories after giving the nod to a memorandum of agreement with VSE-listed Gerle Gold. Cominco and Teck will finance Gerle’s preliminary diamond exploration through a private placement of Gerle shares and have the option to finance further work.

Teck’s B shares ended the week down 13 cents at $19.50. Cominco, which has decided to slash nickel production from its smelter in Oregon, closed down $1.25 to $18.75.

Also in the midst of significant production cuts, nickel producer Inco lost 63 cents to $26.50. The nickel price closed down another 9 cents to US$2.75 per lb.