Trading Summary (July 20, 2001)

The consumer products and oil & gas subindexes cushioned the blow from losses in five other subgroups and helped the Toronto Stock Exchange end the week with a small gain on Friday. The TSE 300 composite index edged up 5.65 points to close at 7,648. The gold issues tacked on 32.77 points to end at 4,745.02 and the base metal issues fell 68.29 points after two days of recovery.

All of the base metals suffered losses on the London Metal Exchange. Gold and silver were up slightly in London, while platinum was lower.

Barrick Gold far outpaced the rest of the country’s gold miners with more than 1.2 million shares traded. The stock climbed 17 to $24.07 after the company and merger partner Homestake Mining announced that reserves have grown significantly at the Veladero gold project in Argentina.

Placer Dome saw less than half as many shares change hands as it rose 50 to $16.69. Details were released late on Friday of Placer’s sale of its 70% stake in the dormant Las Cristinas gold-copper project in Venezuela to Vancouver-based Vannessa Ventures.

Mid-tier miner Goldcorp fell 49 to $16.50 despite posting stronger-than-expected second-quarter earnings after the market closed on Thursday. The company earned US$15.3 million (or 19per share) during the latest quarter, compared with a year-ago loss of US$5.6 million (7 per share). The Red Lake mine in northwestern Ontario, now the lowest-cost gold mine in the world, churned out 131,927 oz. gold at a cash cost of US$60 per oz. during the quarter.

Most of the major base metal miners suffered losses on the day. Exceptions included Falconbridge, which gained 30 to $17.20, and Aur Resources, a dime higher at $2.80. Struggling Boliden tacked on half a penny to hit 31. Junior Nuinsco rose 3 to 35. Earlier this week, the company began a magnetotelluric survey aimed at finding massive-sulphide anomalies beneath thick overburden on its Rainy River property in northwestern Ontario.

Canada’s junior exchange lost ground for the fourth time this week, powered by losses in technology issues. The Canadian Venture Exchange composite index lost 12.04 points, or 0.4%, and closed the day at 3,083.42. The Mining Index followed suit, dropping 15.44 points, or 0.2%, and closed at 7,299.28.

Argosy Minerals climbed to a new 52-week high, gaining 4 to close at 42 on 238,500 shares. The company is reportedly in talks with a number of potential joint-venture partners to develop the Nakety and Bogota nickel laterite deposits in New Caledonia.

Starcore Resources lost 2 to end the week at 14 on 164,500 shares. Earlier this year, the junior inked a deal that would see Placer Dome earn a 50% stake in its Legris Lake platinum-palladium property in Ontario. This property is owned equally by Starcore and Avalon Ventures. Avalon ended the day unchanged at 51.

Shares in Philex Gold continued to drift lower and ended the day at $1.12, down 1 on 56,200 shares. The company recently released drill results from the Boyongan copper-gold prospect on its North property in the Philippines.

Shares in Kenrich Mining got hammered, losing 4 to end the day at 5 on just over 1 million shares. The stock had run up on news that the company is evaluating a large Wyoming gas play. Already holding the Corey gold property, near the Eskay Creek mine in B.C., the company said it is evaluating several mining plays.