STOCK MARKETS — Volume leader Lytton trades on sampling

Trading activity on western markets picked up a little steam during the report period ended at noon, Nov. 4, largely because of investor interest in companies active in diamond exploration.

The Vancouver Stock Exchange composite index held even at the 555-point level, while the resource index gained 14 points to 543. The Alberta Stock Exchange also turned in an improved performance from last week, with the composite index gaining 12.9 points to the 880 level.

Lytton Minerals, this week’s top trader on The Toronto Stock Exchange, was far and away the most active resource issue on the VSE. Trading was still active at presstime, when the company’s shares climbed to 70 cents. The junior’s trading activity is related to international promotion and results from a recent sampling program reported to have revealed “substantial amounts of chrome diopsides” and a “profusion” of what are believed to be pyrope garnets.

Lytton is having its analysis work done by Canamera Geological, thereby resuming a mutually profitable relationship that began when both firms were involved in overstaking activity at Eskay Creek several years ago. Canamera is managed by John Dupuis, a Lytton shareholder with little or no previous experience in diamond exploration or analysis. But he is obviously a quick study, as the firm recently opened a diamond-indicator-mineral analysis lab in North Vancouver, Canada’s newest such facility.

At least one other junior, Intertech Minerals, is already availing itself of Canamera’s lab facilities and expertise. Intertech gained a dime during the report period, to trade at the 80 cents range.

Commonwealth Gold gained a further 2 cents to 76 cents. The company is active in a diamond exploration joint venture managed by renowned diamond expert Christopher Jennings. But the company has other projects, and recently optioned its Monashee gold property in southern British Columbia to Cameco. Gold, rather than diamonds, is the main focus of Arizona Star Resource, which took the third-place spot on the VSE. The company is active on a Chilean gold project not far from one being advanced by its largest shareholder, Bema Gold. A group of investors recently bought 2.2 million Arizona Star shares sold by Bema, which in turn intends to use a portion of the proceeds to fund Arizona Star by way of a private placement. Arizona Star gained 11 cents to trade at 56 cents.

Teryl Resources jumped 14 cents to settle at 46 cents after announcing that geologist Jack Maar would be in charge of its Amad diamond project in the Northwest Territories. Maar was previously Kennecott’s regional manager in charge of diamond exploration in Canada’s North.

Katlor Explorations gained 7 cents to 90 cents after announcing it was involved in negotiations to acquire technology related to soil remediation. Gerle Gold attracted some serious investor interest after announcing its involvement in diamond exploration in Canada’s North. The company’s efforts are being backed by majors Teck and Cominco, which together took part in a recent private placement in Gerle Gold. Although trading was relatively modest, Gerle gained 9 cents to settle at 28 cents.

Randy Turner’s Winspear Resources also got a boost, gaining 16 cents to 68 cents. The company reported results from a sampling program at its Lake Providence property, 50 miles west of the Dia Met/BHP Minerals diamond discovery at Point Lake, N.W.T.

A concentration of kimberlite indicator minerals was reported by Winspear from a total of 27 samples processed at the Saskatchewan Research Council facilities in Saskatoon. A winter program that could include drilling is being reviewed.

Even Resources, trading in the 70 cents range, reported that the first chip samples from old workings at the Inca de Ora project in Chile returned assays averaging almost 0.1 oz. gold per ton and as high as 0.23 oz.