Vancouver Stock Exchange Gold stock demand

What can only be described as an insatiable demand for gold stocks continues to bolster the Vancouver market. Despite some negative signs on the horizon, the market’s fundamentals are still pretty good. Indeed, some analysts are predicting the present situation could last to Christmas or well into the New Year. But given the duration of the bull market, the next blow out could be a dandy. So you short sellers may have your day yet.

Among the heavy hitters today was Faraway Gold which climbed 45 cents to $2.60 in good volume. Equity Silver is managing a 20,000 ft drill program on Faraway’s Sam claims which should be finished by year- end. The property is two miles from Equity Silver. Abo Resources came on strong rising 38 cents to $1.35 (see front page story). The company’s Harrison Lake property is under option to Kerr Addison but present work is being funded by Bema International.

Canadian United, which claims to have received a “written offer for a substantial private placement underwriting by a foreign mining company,” was 11 cents better at $1.68. The shares would be placed at $2 each with warrants attached at $2.50.

At presstime the market index was ahead three points to 1,886 and the advance decline ratio was even.

Over our report period, Bema International climbed $1 to $4.50. The company recently concluded negotiations for a $3 million private placement in Europe which will be used for a phase two underground program on the Kerr/Abo Harrison Lake property. Bema will earn in on Kerr’s interest. Posting a 90 cents increase to $3.90 was Normine Resources which has agreed to fund a $1 million (US) exploration program on Kerr’s Slumbering Hills project in Nevada.

Byron Resources, which is involved in a joint venture with Westmin Resources and Esso Minerals 40 miles south of the Blackdome mine in southwestern B.C., shot up 80 cents to $2.40. Drilling is under way. City Resources, which has big plans for its Cinola gold deposit in the Queen Charlottes, ended the week 75 cents stronger at $8.50. Chelsea Resources, which expects to average 1.0 oz head grades at its Lewistown gold mine for the next six months (and higher after) was 60 cents stronger at $4.35. (This thing is for real and The Northern Miner will file a story on it in coming weeks).

US Grant Gold, which has some attractive gold properties in southwestern Montana, was the volume leader with a turnover of 1.2 million shares. The stock was ahead 20 cents to $2.30.

New listings for the week included: Silkridge Resources, U.T. Technologies (formerly Cannon Explorations), Claimer Resources, Corptech Industries (formerly Salon Resources), Longold Resources, Paladin Fuel Technology (formerly Paladin Resources), First Hospitality Canada (formerly Wellington Resources), Anooraq Resources, GSR Goldsearch Resources, Jentech Ventures (formerly Tracker Explorations), Helix Biotech (formerly South-West Gold), and Castello Resources.