Trading Summary (November 06, 2003)

Momentum ran out for Toronto’s gold stocks on Thursday, as the sector slipped 3.06 points to 204.52. In New York, the yellow metal shed US$2.20 per oz. to US$379.90 per oz. The diversified miners joined in the slump, dropping 3.39 points to 191.24. Overall, the S&P/TSX composite index finished the day 3.19 points higher at 7,870.87.

Tahera saw major action again gaining half a penny on more than 84 million shares. Still no recent news out of the company. Wheaton River came in a distant second among mining stocks with just more than 7.1 million shares falling 19 to $2.77.On Thursday, Wheaton said it has agreed to acquire the promising Amapari gold project in Brazil by taking over privately owned EBX Gold in a cash and stock deal worth about US$105 million. Wheaton will pay US$25 million in cash, and issue 33 million common shares and 21.5 million series-B shares in return for the project, which is home to proven and probable reserves totalling 14.8 million tonnes running 2.93 grams gold per tonne. The company plans to fast track construction of an open-pit leach operation at a cost of US$70 million; a US$15 million payment is owed to AngloGold in 2004 and 2005.

Also making noise on Thursday was zinc miner Breakwater Resources, which dove 11, or 14%, to 67 after tabling a narrower third-quarter net loss of $4.1 million (or 2 per share) on gross revenue of $41.6 million. The company saw about 3.9 million shares change hands.

With a handful fewer shares traded, Ivanhoe Mines shed $2.10, or 15%, to hit $11.75. The shares had been on the rise after the company bought back a 2% net smelter royalty, payable to BHP Billiton, on its copper and gold discovery at Turquoise Hill in Mongolia’s South Gobi region. The US$37 million acquisition gives Ivanhoe 100% control of the project.

Minco Mining & Metals continued higher, soaring 60, or nearly 33%, to reach a new 52-week high at $2.44. On Wednesday, Minco signed a series of deals with the Gansu Provincial government and two other local companies to explore and develop the Anba gold deposit in the Yangshan gold field in Gansu, China. Minco can pick up a 40% interest in Yangshan Gold mining, which will acquire the deposit for US$6 million.

Canada’s junior exchange closed up slightly higher over yesterday with advancing stocks beating declining stocks 458 to 389. The S&P-TSX Venture Exchange composite index closed up half a point and closed at 1,609.25 with a whopping 111.2 million shares traded.

ATAC Resources closed at 21 up 10.5 with 2.68 million shares traded. The Al Archer and Doug Eaton-led company recently raised $800,000 in a private placement financing for 8 million units priced at 10 per unit. Each unit consists of one common share and one common share purchase warrant. Each warrant allows the holder to purchase one additional common share for a period of two years for 12.5 during the first year and 15 during the second year. Proceeds will be used for working capital.

Golden Band Resources added half a penny to its value and closed at 25.5 with 2.6 million shares traded. The company is exploring the La Ronge gold belt properties. At last report the junior had identified seven gold-in-till anomalies.

Sennen Resources found a nickel and closed at 55 with 2.49 million shares changing hands. The company recently acquired a 100% interest in Makapa Mining. Makapa owns extensive mineral rights in north-western Guyana, The financing required for the project is in place and field work is ready to commence at Makapa. The mineral rights held by Makapa cover approximately 8,000 sq. km in north-western Guyana adjacent to the border with Venezuela, and are immediately to the north of the Central Guyana Shear Zone.