STOCK MARKETS — VSE juniors push resource index higher

Over the report period ended Feb. 4, the Vancouver Stock Exchange composite index climbed above the 1200 level for the first time since Oct. 31, 1996, to close up 18.74 points at 1,218.21. The resource index rose 36.12 points to finish at 2,273.15.

Pacific Rim Mining finished at $4.90 for a gain of $1. The company completed a $3.3-million private placement, proceeds of which will be used to fund exploration on its Cerro Blanco and Colorada properties in Argentina.

Francisco Gold slipped 25 cents to $13.25 on the release of results from nine additional holes on the Sauzal gold project in Mexico’s Chihuahua state. A 4,180-metre, 18-hole program was completed in the first phase of drilling, which revealed that gold mineralization occurs in three distinct faulted blocks. A second phase of drilling is under way.

Toronto-listed Queenstake Resources and Alamos Minerals, in a 60-40 joint venture, hold a 1,850-ha block of claims in the immediate area. Alamos was up 22 cents at $1.28.

On resumption of trading, Kensington Resources reached a high of $2 before falling back to $1.46, up 11 cents from when it was halted in mid-December 1996. The company is raising $4.8 million through a private placement of 3.8 million special warrants at $1.25 each. Its option agreement to acquire a half interest in the Changma diamond mine and two exploration concessions in China’s Shandong province is being reviewed by the VSE.

Argosy Mining closed down 13 cents to $1.48 on the release of assay results from a 10-hole program completed in December at its Kremnica gold project in the Slovak Republic. Results ranged from 92 metres of 0.34 gram gold per tonne to 17 metres of 1.19 grams. Argosy has budgeted $4 million to advance the project during 1997.

Labrador International Mining has entered into preliminary discussions to acquire projects in Brazil, while it awaits drill results from its Adlotak 2 property in Voisey’s Bay, Labrador. The issue closed up 5 cents at 35 cents.

Oro Belle Resources rose 35 cents to $1.60 on the strength of a newly formed joint-venture agreement with Swedish-based Boliden to explore an area in the Western Chubut province of Argentina. Elsewhere in the country, Oro Belle and partner IMA Resources have expanded the Flechas gold-silver project in San Juan province to 45,000 ha after completing a program of geochemical sampling and geophysical surveys. IMA remained unchanged at $2.

Newcoast Silver Mines and Whiskey Creek Resources have each been granted an option to acquire a 32.5% interest in nine concessions covering 45 sq. miles in the Akumaden area of Ghana, West Africa. Newcoast Silver was up 3 cents at 57 cents, while Whiskey Creek tacked on 10 cents at 36 cents. Whiskey Creek has also acquired an option on two claim groups in the Surigao gold district of Mindanao in the Philippines.

A regional grassroots exploration program is identifying several prospective targets on a number of concessions held by Arrowhead Minerals in Ecuador. The issue jumped to $2.40 for a gain of $1.01.

Primero Industries entered into an option agreement with New Claymore Resources to acquire a half interest in 250,000 acres near Peace River, Alta.

The area has heated up since Toronto-listed Ashton Mining of Canada pulled kimberlitic-textured rock from five exploratory holes. Primero doubled to close at 47 cents, while New Claymore climbed 65 cents to finish at $2.80.

Drilling at the Condor project in the Maricunga belt of Chile intersected a mixed porphyry and breccia zone containing 5-7% disseminated sulphides over a 271-metre length. The project is a 50-50 joint venture between Consolidated Trilogy Ventures, which closed up 32 cents at $1.02, and US Diamond, which was up 26 cents at $1.01.