Trading Summary (June 04, 2001)

The Toronto Stock Exchange ended a directionless day 50.26 points higher at 8,301.2 on Monday. The oil and gas sector led the way with a 107.92-point, or 1.1%, gain. The base metal issues climbed 24.15 points and the gold stocks tacked on 9.57 points. By day’s end, only three of the TSE’s 14 subindexes finished in the red.

Barrick Gold led the country’s gold miners with more than 1.4 million shares changing hands. The issue was unchanged at $25.60 as gold continued to retreat from its recent high of US$296 per oz., ending at US$265.30 per oz. in New York. Placer Dome edged up a penny to $16.85. Diversified miner Teck added a penny to hit $16.64. The company has settled a lengthy dispute with the Canadian income tax authorities. It will be repaid about $73 million of a $75-million deposit against a possible income tax reassessment. The settlement includes the payment of $18 million in agreed taxes and a credit for the interest earned on the deposit, resulting in a one-time addition to earnings of about $9 million and an increase in the company’s cash position to about $240 million. Goldcorp added 20 to hit $15 and Meridian Gold climbed 37 to $12.57 to stand out from the pack.

LionOre Mining International climbed 15 to $2.25 on the back of 74,747 shares and positive results from a bankable feasibility at it 60%-owned Thunderbox gold project in the northeastern goldfields of Western Australia.

Copper miner Aur Resources rose 8, or 2.5%, to $3.28 on more than 2.3 million shares. This was good enough for a spot in the middle of the TSE’s most active list. Coming in a distant second was Sherritt International with just more than 1 million shares on the go. The stock rose 11 to $5.71.

The rest of the field was quiet. Alcan gained 50 to $71 on 487,139 shares and Inco fell 8 to $28.92 on 341,173 shares.

Canada’s junior exchange managed to continue its rally with its only help coming from the oil and gas index. The Canadian Venture Exchange composite index tacked on 15.47 points, or 0.5%, and closed the day at 3367.30. The mining index lost 3.09 points and closed at 7248.97.

Investors are betting ahead of results from Idaho Consolidated Metals’ Stillwater property in Montana. The company’s issue jumped 7 and closed the day at $1.54 with 613,000 shares crossing the floor. Idaho started drilling the first of two PGM targets in the Stillwater Complex in Montana on May 9. The first drill was collared on the Fishtail Creek target and targeted potential J-M reef stratigraphy. The second target is near Crescent Creek, 14 miles west of Fishtail Creek.

Transpacific Resources is planning to return to its quest for diamonds on its 4,000-acre property at Kirkland Lake in northern Ontario. The company remained flat at 2 on the day but was heavily traded, with 345,000 shares changing hands. Two diamonds and a number of diamond indicator minerals were previously discovered on the property.

Cantex Mine Development closed the day flat at 11 with 224,000 shares traded. The Chuck Fipke-led company recently discovered a gossan formation, 24 km north of the Suwar nickel-copper-cobalt prospect in Yemen. Assays are pending.

New Blue Ribbon Resources bounced off of the bottom and tacked on 2, closing at 15 with 214,000 shares traded. The issue was hit hard after assay results from the first round of drilling on the Moose diamond property in Manitoba dudded. Blue Ribbon’s joint-venture partner, BHP Diamonds, tested seven magnetic anomalies on the project without hitting kimberlite.