Trading Summary (January 22, 2003)

The Toronto Stock Exchange rebounded to the tune of 30.47 points to end Wednesday’s trading session at 6,721.28 points. The gold stocks led the way gaining 4.33 points or about 2.2% to make 197.73 as the yellow metal grabbed US$2.50 to hit US$359.40 in New York. The diversified miners weren’t able to keep pace slipping 1.51 points to 136.23.

Kinross Gold was the most actively traded mining stock climbing 7 to $3.79 with more than 5.9 million shares traded. Kinross says a deal under which its 54.7%-owned subsidiary Omolon Gold Mining plans to buy out its Russian shareholders for US$45.4 million faces a delay as the company says assurances from the Magadan Administration won’t come until after a Feb. 2 election at the soonest.

Kinross’ potential merger partner, TVX Gold made 46 to reach $24.40 with about 381,000 shares on the go. TVX said on Wednesday that a group of investors known as the Alpha Group are looking to exercise a claim to the right of first refusal on TVX’s Greek assets before any merger could go ahead.

The final member of the proposed three-way merger, Echo Bay Mines managed to stay out of the spotlight and finish unchanged at $1.92 on just more than 400,000 shares.

Nevsun Resources jumped 83 or about 33% to $3.34 on nearly 4.5 million shares after releasing assay results from a new high-grade gold and base metal discovery on its 90%-owned Bisha property in Eritrea. Six holes totalling 804 metres returned up to 6.3% copper, 32.49 grams gold and 1,382 grams silver over widths up to 8.23 metres.

Yamana Resources shot up 4 or 33.3% to 16 on the strength of 1.15 million shares. The Santa Cruz joint venture recently turned up several promising gold-rich vein systems on Yamana’s Martinetas gold property in southern Patagonia, Argentina. Nine separate veins will be tested by a 2000-metre drilling campaign to begin in late January.

Most of the country’s diversified miners posted losses.Fording managed to keep its head just above water with a 6 climb to $33.71. Alcan saw the most action falling 95 to $44.95 with about a million shares changing hands.

Noranda dropped 2 pennies to $15.34, and Falconbridge lost 40 to $17.40. On Wednesday, about a dozen striking workers from Noranda’s Horne copper smelter in Quebec talked briefly with the company’s CEO, Derek Pannell, after the group tried to occupy the company’s headquarters. Pannell wouldn’t commit to a resumption of official negotiations aimed at ending the 8-month-long strike, reports Reuters.

Canada’s junior exchange remained stuck in a narrow trading range with investor unwilling to make bets ahead of a possible war in Iraq. The S&P-TSX Venture Exchange composite index gained 3.03 points or 0.27%, and closed at 1,126.44.

Spider Resources was the most actively traded junior explorer, gaining 2 to close at 7 on 2.9 million shares. The company holds diamond interests in both Ontario and Brazil.

Oasis Diamond Exploration ended the session up a penny at 12 on over 1.4 million shares. The company recently launched a drill program over the Sigma target on the Enigma diamond property in Ontario.

A big percentage gainer on news of the results from the drill program north of the El Limon gold prospect on the Morelos Norte project in Mexico’s Guerrero state, Miranda Mining added 15 to close at 40 on 1.2 million shares. The project is held 78.8% by Toronto-listed Teck Cominco and 21.2% (14% carried) by Miranda. Highlights include hole 76 into the Los Guajes target, which returned 24.9 grams gold over 9.1 metres.

The latest drill results from the Gold Mountain zone on the Kena property near Nelson, BC, sent investors running for the exits. Shares in Sultan Minerals dropped 4 to close at 25 on a volume of 296,500. Despite hitting mineralization in all 19 holes, the results were generally sub-economic.