Trading Summary (June 03, 2002)

The Toronto Stock Exchange’s gold index stole the show taking on 6.69 points or more than 3% to end Monday at 228.64. The metals & mining index was one of just three other subindices to end in black gaining 0.91 points to 148.95 points. Overall, the S&P/TSX Composite Index slid 56.59 points to 7,599.54 points.

No great surprise, Canada’s gold miners were among the TSX’s most actively traded issues. Kinross Gold led the bunch climbing 15 to $4.12 on nearly 4 million shares. TVI Pacific put in the one best percentage gains climbing 4 pennies or 32% to 16.5. The remaining majors Placer Dome and Barrick Gold grabbed 45 and 78, respectively. Placer at $21.34 and Barrick at $34.10.

Manhattan Minerals plummeted 51 or nearly 29% to $1.27 with 536,593 shares traded. On Sunday, residents of Tambogrande, about 865 km northwest of Lima, Peru, voted down the junior’s plan for an open pit mine in their agricultural centre.

Rio Narcea grabbed a dime or more than 5.5% to $1.90. On Monday, Rio said that it expects to produce about 155,000 oz. of gold at cash costs less than US$150 per oz. for 2002, after pumping out a record 29,336 oz. of gold from its El Valle operation in Spain, during May.

Inco returned to centre stage among the base metal miners adding 90 to make 35.65, a new 52-week high, on more than 1.2 million shares. Inco CEO Scott Hand says that talks aimed at getting the company’s Voisey’s Bay nickel project in Labrador underway are making headway. Last week, Newfoundland’s Mines Minister Lloyd Matthews told a press conference that the company’s latest offer failed to meet expectations.

Others on the metals & mining index to make gains were Sherritt International, up 2 pennies to $5.05, and Aur Resources plus 15 to $4.80 and Boliden, which rose a nickel to $5.90.

Canada’s junior exchange started the trading week off by posting modest gains. The S&P/TSX Venture Index tacked on 4.43 points, or 0.4% and closed at 1,241.94.

ECU Silver Mining toped the most actively traded chart, closing flat at 10 on 2.1 million shares. The junior recently inked a deal for the use of a flotation and cyanidation mill with a 200-tonne-per-day milling capacity, situated some 110-km south of its La Esperanza silver-gold project in Mexico.

Alhambra Resources ended the session unchanged at 70 on 976,000 shares. The junior recently tabled an independent assessment on the Sary-Arka and Uzboy licenses in Kazakhstan. The company is currently proceeding with putting the Uzboy project into production before the end of the year. The initial production target calls for 25,000 ounces of gold per year.

American Bonanza Gold Mining surged 4 to close at 20, on 1.6 million shares. The junior holds the low-grade Copperstone gold project in Arizona.

Cantex Mine Development added 3 to close at 9 on 1 million shares. The cash-strapped company is pursuing a strategy to develop sustainable funding for its gold and nickel sulphide projects in Yemen. Several groups have reportedly expressed an interest.