Trading Summary (May 26, 2003)

With U.S. markets closed on Monday, the Toronto Stock Exchange managed to scrape together 1.95 points to make 6,784.85 in thin action. The gold index took a breather edging up 0.09 of a point to 168.78 points; the base metals surrendered 0.29 of a point to 119.53 points.

Geomaque Explorations was the most traded of a quiet bunch of mining stocks, ending unchanged at 6 on more than 1.5 million shares. Geomaque recently posted a first-quarter loss of $4.6 million (or 3 per share) last year, compared with $10.5 million (17 per share) in 2001.

Montreal-based gold miner Cambior dropped 16 or 8.2% to $1.80 after hosting a late-day conference call to update the situation regarding a US$2 billion class action suit launched in connection with a 1995 tailings dam collapse at the Omai gold mine in Guyana.

Canada’s major gold producers went in opposite directions. Kinross Gold saw the most action, falling 3 to $9.52 on just more than 262,000 shares. Placer Dome was next in line with a 11 gain to $15.31; Barrick Gold made 4 to hit $24.94. In the junior ranks, Etruscan Resources retreated 7 to $1.00 after announcing it had arranged a US$27-million bank loan for development of its Samira Hill gold project in western Niger. Partner Semafo rose 2 pennies to 60.

International Curatorlost a penny to 8 after extending to June 16 its bid for Royal County Minerals.

Inco left the other base metal miners in its dust, finishing 45 lower at $26.30 with about 385,000 shares on the go. Inco and the United Steelworkers have brought in a conciliator to help with an agreement over pension benefits and related issues at the Sudbury mining and milling complex, reports Reuters. The contract deadline is this Saturday.

Also battling bad news was Tiomin Resources, which shed 2.5 or nearly 9% to 25.5. On Monday, Tiomin countered Kenyan press reports stating that the company will have to double its land compensation to the farmers affected by its Kwale titanium-sands project. Tiomin says it has already signed long-term lease agreements with almost all of the private landowners in the proposed mining area.

Canada’s junior exchange started the trading week stuck in a narrow trading range on light volume. The S&P-TSX Venture Exchange composite index lost 0.95 of a point and closed at 1,087.48.

Gulf International Minerals was the most actively traded stock, losing 2 to close at 40 on over 1.1 million shares. The junior recently began gold production through its Kansai mill in Tajikistan. Gulf’s first gold shipment of 50 kilos (approximately 1,600 ounces of gold) resulted in the Company receiving US$586,340 gold sales revenue. This initial production, generating early cash flow, was primarily based on the processing of low-grade ore from the Kansai tailings dump made by the Russians prior to the breakup of the Soviet Union.

Investors snapped up shares in Mindoro Resources following the release of initial drill results from the Lobo project in the Philippines. Stock in the Edmonton-based company climbed to 42 before setting down at 35, up 6 on a volume of 466,300. Hole 3 returned 13.3 metres grading 8.32 grams gold. Included in this section was a higher-grade portion running 17 grams gold over 4.1 metres.

KWG Resources lost 2 to close at 10 on 542,279 shares. The company along with joint venture partner Spider Resources have been advancing the Spider #3 base metal prospect in the James Bay Lowlands of Northern Ontario. Hole 2 on the project yielded 0.53 % copper over 12.3 metres in the semi-massive sulphide zone and the massive sulphide zinc section came back 5.45% zinc over 5.35 metres.