Trading Summary (December 03, 2001)

The Toronto Stock Exchange started the week off on a sour note dropping 50.85 points to end at 7,374.8 points. The Utilities subindex felt pressure from south of the border as U.S.-based Enron filled for bankruptcy protection from its creditors on Sunday. The power sector dropped about 2.2%. The tech-heavy Industrial Products subindex chipped in a 1.9% drop. Countering that were the golds, which added 96.96 points or 2% to hit 4,916.42. The base metal issues weren’t able to keep pace falling 19.37 to 3,989.34.

Boliden remained on investors view screens soaring 11 or 63% to 28.5 on about 3.5 million shares, ranking the issue third in trading volume. The company recently received shareholder and court approval for its planned “redomiciliation” to Sweden.

Also cracking the TSE’s top ten most traded list were: Aur Resources, up 15 or 5.2% to $3.05 on more than 2.6 million shares; Semafo, off 2 or 12.5% to 14 with one trade of 2.5 million shares; and Kinross Gold, which gained 7 or 6.5% to $1.15 on volume of 2.3 million shares.

Most of the country’s remaining gold miners followed Kinross’ lead. Barrick Gold gained 35 to $24.10, Placer Dome rose 30 to $17.35, TVX Gold was 3 higher at 66, and Franco-Nevada Mining found 54 to hit $23.56.

The country’s base metal miners were mostly lower. Inco fell 21 to $25.14; Sherritt International dropped 6 to $3.95; Teck Cominco shed 19 to $11.01; Alcan was off 49 to $56.20; and Noranda shed a penny to $$14.55. Noranda said on Monday about 540 unionized workers at its CEZinc refinery in Quebec, ratified a new three-year deal, including a wage increase of 45 per hour for the first year and 90 an hour for each of the subsequent two years. The new pact also improves benefits and retirement programs.

Falconbridge was unchanged at $16. On Monday, Falco announced that it has sold $175 million principal amount of seven-year debentures, with closing expected on Dec. 7, 2001.The notes were priced at $100, yielding 8.5%. The unsecured debentures mature on Dec. 8, 2008. Proceeds will be used to repay amounts outstanding under its commercial paper program.

In diamond news, Namibian Minerals gained a penny to 21. On Monday, Namco announced that its senior lenders have again extended the company’s capital repayment moratorium until Dec. 15, 2001. Namco says negotiations regarding the rescheduling of the company’s banking facilities are in the final stages and that a resolution is expected in December.

Canada’s junior exchange started the trading week off in a sour mood despite seeing some strength in technology-related issues. The Canadian Venture Exchange closed down 19.51 points, or 0.6% to close at 3079.47. The Mining Index lost 33.42 points, or 0.4% to close at 7,864.31.

Harambee Mining came back to life after being declared inactive by the exchange on Sept. 7. Shares in the junior climbed 2 to 5 on a volume of 473,000. The cash-strapped company recently wrote off its investment in its exploration ground in the Democratic Republic of Congo, and is currently seeking financing to seek new business opportunities.

News of a new drill target on the Kougarok tantalum-tin property in Alaska sent shares of Navigator Explorations higher by 2, closing at 36 on a volume of 134,000. Along with partner Chapleau Resource, the parties have identified a new intrusive center on the project, dubbed Real Top. Assay results are pending. Chapleau ended the day down 5 at 47 on a weak 29,000 shares.

Orka Gold dropped 5 to close at 21 on 350,000 shares. The company is currently shifting focus from mineral exploration to an investment issuer.

Shares in Silver Standard Resources edged closer to a new 52-week high, gaining 7 to close at $3.32 on volume of 155,762. Toronto-listed Pacific Rim Mining announced it has signed a final agreement to sell its Diablillos silver-gold project to the junior. Under the terms of the agreement, Silver Standard will pay US$3.4 million in cash and stock.