STOCK MARKETS — Stagnation settles in over western markets

With the Christmas doldrums fast approaching, western markets finished little-changed over the period ended Nov. 30.

Although weak oil prices helped push gold down to the US$370-per-oz. level, the yellow metal had gained back most of the losses midway through the trading session on Dec. 1, to trade at US$376.25 per oz.

The Vancouver Stock Exchange resource index added just under four points to finish at 1,530.06, while the composite index lost almost six points at 1,022.02.

Anticipation of preliminary results from underground work at the DO-27 kimberlite pipe in the Lac de Gras area of the Northwest Territories spurred buying in partners Kettle River Resources, Dentonia Resources and Alberta-listed Horseshoe Gold Mining.

Dentonia traded as high as $5.13 before finishing up 75 cents at $4.55 while Kettle River jumped $1.88 to $8.63 and Horseshoe added 75 cents to close at $4.50.

Kennecott Canada, which is earning a 40% interest in the property, is in the process of driving a decline into the kimberlite body as part of a 5,000-tonne bulk sample.

Toronto-listed Aber Resources and SouthernEra Resources each have a 10% interest in the project while Commonwealth Gold has 5%.

Aber finished up 12 cents at $2.23, Commonwealth edged up 7 cents to 74 cents and SouthernEra jumped 93 cents to close at $5.38.

Chapleau Resources traded more than 2.7 million shares to close up 25 cents at 65 cents.

The company negotiated a 1.2-million unit private placement at 55 cents and signed a letter of intent to acquire a 75% stake in the Black River project in the Northwest Territories.

Firing off a barrage of “geospeak,” the company says little or no previous work has been done on the property.

Barkhor Resources traded as high as 34 cents on 2.3 million shares before closing up a dime at 25 cents.

Exploration and drilling recently got under way at the company’s Fors joint venture with Chapleau Resources, near Cranbrook, B.C.

Toronto-listed Consolidated Ramrod Gold is earning a 60% interest in the “Sullivan-type” base metal target and plans to complete at least 10,000 ft. of diamond drilling.

Excellent exploration results from the Golden Bear property in northern British Columbia helped owner North American Metals gain 38 cents on low volume, to close at 94 cents.

The company will have to find something big to pay off the $56 million owed to Toronto-listed Wheaton River Minerals which also owns about 85% of North American’s outstanding shares.

Goldbelt Resources got a vote of confidence from Pegasus Gold, edging up 6 cents at 53 cents.

Pegasus will pay Goldbelt US$300,000 in consideration of an extension of an ongoing due diligence review of a gold tailings project in Kazakhstan. According to an agreement-in-principal, if Pegasus proceeds with the project, it will acquire a majority shareholding in Goldbelt and assist in arranging financing.

Exploration drilling on a kimberlite target has started on the Cross property, north of Yellowknife, N.W.T.

Tenajon Resources, which owns the property, added 7 cents to close at 93 cents.

The project is under option to Toronto-listed Pure Gold Resources and Ashton Mining of Canada which hold 24% and 50% diluted interests, respectively. International Skyline Gold announced that negotiations for the acquisition of a significant interest in an operating Canadian gold mine have been terminated.

It had been rumored the company was courting the owners of the Snip mine in northern British Columbia.

The issue lost 70 cents to close at $1.20.

Positive comments by Gold Fields of South Africa regarding the Tarkwa gold project in Ghana, West Africa, helped Mutual Resources.

The company has a 5% interest in the Tarkwa project and a due diligence review by Gold Fields identified areas with the potential to host multi-million-ounce deposits.

Mutual closed up 28 cents at $1.20.