Trading Summary (October 18, 2001)

After a lower opening on Thursday morning, the Toronto Stock Exchange continued to drift lower throughout the day ending at 6,900 points, 56.78 points off Wednesday’s close. The lone dim light on the TSE was the Paper & Forest subindex, which clawed its way to a slim 5.47-point gain. Otherwise losses were the order of the day. The golds put in a dismal 2.8% losing performance and the base metal issues slid more than 0.7%.

At day’s end, the shinnies were lower across the board in New York. Gold dropped below the US$280-mark to US$278.60 per oz. Silver tagged along shedding US12 to US$4.24 per oz. Platinum and palladium lost US$8 and US$5 per oz., respectively to end at US$422 and US$325 per oz. Tin was the lone base metal to advance in Europe.

Gabriel Resources was the country’s most active mining issue with just less than 2 million shares on the go. The company has wrapped up a feasibility study of its 80%-owned Rosia Montana gold project in Romania. The study focuses on the potential for developing a large-scale open-pit mine and processing plant. The issue gained 3 to $3.97.

Next in line was Placer Dome, which lost 67 to $18.28 on 1.4 million shares. Most of the other gold stocks suffered losses. Barrick Gold fell 91 to $25.64, TVX Gold lost 2 to 72 and Kinross Gold was 7 lower at $1.36.

Teck Cominco led the base metal issues with about 840,000 changing hands. The stock gained 18 to $10.28. Alcan fell another 65 to $46.95 on just less than 800,000 shares. The aluminum giant plans to cut up to 3,640 jobs, or 5 to 7% of its workforce to help lower costs and boost profits in the face of depressed metal prices.

Falconbridge gained 8 to $14.13. The company, which posted a third-quarter loss of 15 per share, warned on Wednesday that fourth-quarter losses would be about the same. Smaller producer Aur Resources dropped a penny to $2.55.

Making waves in the junior ranks was Ivanhoe Mines, which gained a nickel to $2.55 with 1.35 million shares traded. On Thursday, the company said it plans to begin producing gold and silver from its permitted Seongsan project in Chollanam-Do province, in southwestern Korea, in early 2002. Ivanhoe also released some narrow, high-grade drill results from the Eunsan prospect.

Canada’s junior exchange posted gains on all indexes but technology. The Canadian Venture Exchange composite index closed up 7.83 points, or 0.3%, at 2889.76. The mining index tacked on 83.88 points, or 1.2%, to close at 7,311.32.

Poplar Resources lost 5 and closed at 16 on a volume of 1.07 million shares. The company has raised $350,000 by issuing 1.4 million units at 25 each. The company’s 65%-owned subsidiary had completed five holes of a planned 20-hole program at the Bottenbacken polymetallic property in central Sweden. Results from hole BB-1 from the Bell zone were low. The entire 248-metre length of core was split and sampled in 2-metre intervals. Copper values ranged from 0.001% to 0.17%, with an average value of 0.054%. Palladium values ranged from less than 0.01 to 0.07 gram per tonne, with an average value of 0.029 gram. Gold values ranged from less than 0.01-to-0.04 gram per tonne, with an average value of 0.019 gram.

Shares of Samex Mining climbed 3 to 15 on a volume of 783,000. The junior is in the midst of a 600-metre drill program at the Eskapa copper-gold property in Bolivia. The company recently completed a 495-meter core drill hole within the “Core Zone” area of the Eskapa prospect. Drill hole 11 encountered a hydrothermally altered, silicified zone at 340 meters and continued through to 495 meters. Assays are pending

Excellon Resources lost 6 and closed at 34 on 409,000 shares. The company reports a 36-metre massive sulphide intersection on its 36,000-acre joint venture Platosa/Saltillera property in northwestern Durango State, Mexico. So Far only 1,000 metres of a planned 3,000-metre drilling program have been completed. The hole was designed as a 15-metre northwest offset of the thickest mineralized intercept on the property to date (Hole 99-13, cut 18.7 metres averaging 24.9 oz per tonne silver, 17% zinc and 6.6% lead). Excellon may earn a 51% interest with 49% held by Apex Silver Mines.

Alamos Minerals jumped 10 and closed at 16 on 547,000 shares. The junior has inked a deal with National Gold where Alamos can earn a 50% interest in National Gold’s Salamandra property. The Salamandra camp is located in state of Sonora Mexico 220 km east of Hermosillo and hosts seven large gold bearing epithermal systems. In excess of US$30 million study has been spent on the property in geological exploration and development programs including a feasibility study. To earn its interest Alamos must spend $2.4 million on exploration, development, metallurgical test leaching, property costs and Vendor payments over the next 12 months. Once up and running Alamos will pay National Gold an additional $2 million over the following 4 years.

Andean American added 3 to its value and closed at 30 on 180,000 shares. The Open Pit zone of the Santa Rosa property in Peru is now in production and the pilot plant is currently operating at a rate of 500 tonnes per day. The company announced that the first 7.8 kg of gold produced from the plant was sold for US$282.60 per ounce.

Sultan Minerals took a hit loosing 4 and closing at 40 on 112,000 shares. The company recently released results from its Gold Mountain porphyry target near Nelson BC. One hole cut 2 metres grading 172.1 grams gold per tonne. The junior recently closed a $700,000 financing to fund further drilling.