Trading Summary (October 31, 2001)

The Toronto Stock Exchange rose 60.29 points to end at 6,885.7 points on Wednesday, after Gross Domestic Product numbers from the U.S. came in higher than anticipated. The GDP, the broadest measure of economic health, shrank 0.4%during the third quarter, its steepest drop since the 1991 first quarter, but better than the 1% drop projected by many economists.

Kinross Gold managed to gain 2 to reach $1.35 on just less than 1.2 million shares, making it the nation’s most active mining stock. Placer Dome saw about 1.05 million shares change hands as the issue gained 15 to $18.40.

Barrick Gold lost 20 to $24.75; Franco-Nevada Mining edged up 9 to $22.60; and Cambior shed two pennies to 78. The losses conspired to lower the value of gold and precious metals sub-group by just 4.55 points to 5,037.16 points.

On Wednesday, Cambior announced an $8-million deal to acquire the 50% stake in the advanced Gross Rosebel project in central Suriname, it doesn’t already own from joint venture partner Golden Star Resources. For its part, Golden Star fell 3 to $1.25.

Novagold stood out among the smaller producers gaining 8 or 4.2% to $1.99. On Wednesday, Novagold posted third-quarter income of US$65,278 on total revenue of US$675,176, compared with a year-ago loss of US$431,357 on revenue of US$96,923. So far in 2001, the company’s income amounts to US$756,635 million, a year earlier the company lost US$1.3 million.

Noranda regained a quarter to $13.75 on 893,473 shares making it the busiest base metal issue. Other gainers were Boliden, up 1.5 to 27, Falconbridge, which added 14 to hit $14.40; and Teck Cominco, 19 higher at $10.30. On the minus side were: Sherritt International, off 9 at $4.10; Aur Resources, 17 lower at $2.58; and Breakwater Resources, down 2 at 16.

Sherritt posted lower third-quarter profit on Wednesday thanks to sharply lower nickel and cobalt prices. For the three months ended Sept. 30, Sherritt’s profit rang in at $23.5 million (or 14 per share), down from year-ago income of $29.4 million, (or 22 per share). Sales shot up to $186.8 million from $110.3 million a year earlier, thanks to a rise in the company’s coal business, which brought in $8.2 million in operating earnings.

Canada’s junior exchange posted a strong mid-week surge led by triple digit gains in the Mining Index. The Canadian Venture Exchange ended the day up 43.07 points, or 1.5% to finish the day at 2,968.53. The Mining Index surged 140.44 points, or 1.9% to close at 7,596.94.

Starfield Resources fell victim to some profit taking following nice gains over the past week. Investors have been speculating that the company will find further indications of the high-grade, platinum-palladium zone cut in hole 101, which returned 103 grams palladium and 27 grams platinum over 0.35 metre. Shares in the junior lost 4 to close at 51 on a volume of 809,315.

Beau Pre Explorations closed at 8, unchanged on the session with 316,500 shares crossing the floor. The junior recently raised $50,000 in flow-through financing to be used on the company’s Valentine Mountain gold property on Vancouver Island.

Masuparia Gold lost 1 to close at 9 on 229,000 shares. The junior just completed a 1,000-metre drill program over the Greywacke property just north of La Ronge Saskatchewan. The latest results included 11.3 grams gold per tonne over 5.7 metres in hole 45. An additional 2,500 metres of drilling is planned.

Samex Mining lost 2 on news that hole 4 into the Copper zone on the Eskapa property in Bolivia failed to hit the targeted mineralized zone. The junior ended the day at 7 on 233,500 shares.

Sultan Minerals lost 4 to close at 45 on 93,619 shares. The junior is in the midst of a third round of drilling targeting its Gold Mountain zone on the Kena property near Nelson BC.