STOCK MARKETS — Stronger resource index bodes well for western markets

Western markets perked up over the report period ended Dec. 5, with the Vancouver Stock Exchange resource index closing up almost 20 points at 1,270.62. The composite index also gained ground, notching up 8.76 points to finish at 786.69.

Lysander Gold traded as high as $1.15 before settling up a dime at 95 cents. The company released assay results from the first hole on its Passagem mine project in Brazil, reporting a 2.39-metre intersection grading 19.05 grams gold per tonne. Drilling continues to test the sedimentary-hosted deposit’s downdip projection from stoped-out areas of the old mine.

The start of this season’s exploration program on the Laguna Verde property in Argentina helped HRC Development add 35 cents to close at $2.10. HRC and joint-venture partner Eldorado expect to begin drilling shortly on the Nordin zone, where trenching has returned gold values of 0.3-1.4 grams gold over an area measuring up to 300 metres wide by 300 metres long.

The purchase of an option to acquire four Indonesian gold properties from a private Panamanian company gave Consolidated Brenzac Development a 12 cents boost to 57 cents. Brenzac will issue shares for the properties, and, subject to completion of the deal, the private company will buy a $1-million private placement in the Vancouver junior.

Atna Resources dipped to $2.85 after releasing results from the final two holes of this season’s drill program at the Wolverine joint-venture property with Westmin Resources in the Yukon.

The last two holes tested the updip projection of the massive sulphide zone, with each hole returning a 1.8-metre true thickness. That compares with an average true thickness of 6.2 metres from the 15 holes drilled this year on the zone. The average grade from this year’s drilling was 11.82% zinc, 1.05% copper and 1.53% lead, plus 2.48 grams gold and 442.8 grams silver per tonne.

Atna managed to bounce back by the end of the report period, to finish unchanged at $3.20.

The acquisition of a controlling interest in Consolidated Team Resources by Lukas Lundin gave the issue a $1.10 boost to $2.20. Lundin’s plans for the company were not disclosed.

Argentina Gold added 35 cents to close at $3.20 after announcing a joint-venture agreement with Western Mining.

The Australian major can acquire up to a 60% interest in Argentina Gold’s Rio Frio, La Poposa and Olivares properties in Argentina by paying US$11 million and spending US$22 million on exploration over five years.

Joint-venture partners Amcorp Industries and Verdstone Resources lost ground after releasing drill results from the Crow-Rea property in British Columbia. Prior to the release of the assays, the companies experienced a runup on a recommendation by a Florida-based newsletter-writer. The results included values of up to 1.18% molybdenum sulphide over 1 metre.

Amcorp lost 23 cents to close at 68 cents, while Verdstone closed down 26 cents at 70 cents. Copperstone Resources continued to gain ground as investors awaited further assay results from drilling on the Boleo copper-cobalt project in Baja California Sur, Mexico.

Copperstone, which holds an 80% interest in the project, closed up 60 cents at $2.35, and Island-Arc Resources, which owns the balance, finished up 25 cents at $1.30.

Alberta-listed Tan Range Exploration reached a joint-venture agreement with JCI of South Africa, helping the former add 22 cents to close at 76 cents. JCI bought 3.9 million units of Tan Range at 60 cents each under the agreement, which will be used to finance exploration work on Tan Range’s properties.

A buy recommendation on Alberta-listed Altair International Gold at the San Francisco Gold Show pushed the issue up 67 cents to $1.75. There would seem to be no other corporate developments that might account for the jump in the share price.