STOCK MARKETS — Western markets advance despite gold’s

Although gold pulled back from the US$380 level, dropping almost US$10 in a single day to the US$370 level, Western markets continued their advance.

The Vancouver Stock Exchange resource index gained more than 22 points to close at 1,205.8, while the composite index finished up almost 19 points at 979.26.

Cazador Explorations more than doubled during the period, touching a high of $1.25 before pulling back to $1.05.

The company is continuing efforts to line up funding for its Keystone gold project near Lynn Lake, Man. Toronto-listed Granduc Mines has already purchased $750,000 in private placements and pledged a further $2 million contingent on Cazador lining up the balance of the $8.2 million capital cost. Investor interest in gold stocks helped Avino Mines add 15 cents to close at 55 cents. The company has a 100% interest in the Bralorne and Pioneer mines, two of British Columbia’s most famous past producers.

Canarc Resources traded as high as $3.55 before settling at $3.30 for a gain of 45 cents. Following on the heels of a $5.4-million private placement, the company recently announced the acquisition of an option to buy an 80% interest in the Sara Creek gold concession in east-central Suriname. The company reports that alluvial mining has produced gold from several areas on the property in recent years.

Alberta-listed Naxos Resources took a hit over the period, shedding 85 cents to close at $2.55. The company recently announced it plans to proceed with the purchase of a Venezuelan company which owns mining rights to diamond-gold alluvial concessions in southeastern Venezuela.

Ace Developments more than doubled to 35 cents following the recent completion of a 1.5-million-unit private placement at 15 cents. The company reports it is in the process of acquiring 10 claims in the Molanosa Arch area of Saskatchewan.

Alberta-listed Golconda Resources did well, adding 15 cents to close at 90 cents. The company recently released drill results from its Moss Mine property in Arizona, with assay results ranging from 0.033 oz. gold and 0.45 oz. silver per ton over 50 ft. up to 0.043 oz. gold and 0.41 oz. silver over 210 ft.

Drilling is continuing on the property and Golconda sees good potential in increasing the previous preliminary geological resource of 7.5 million tons grading 0.038 oz. gold.

Diamond Fields Resources agreed to acquire a 100% interest (up from a planned 60% interest) in a Namibian diamond company which owns diamond mining concessions along the coast of Namibia. Consideration for the interest totals US$3.33 million plus 366,666 shares of the company. Diamond Fields touched a new high of $10.63 before finishing up 38 cents at $10.

Donald McLeod’s Northair Group entered the diamond exploration rush with the staking of ground 75 miles northeast of Yellowknife, N.W.T.

International Northair Mines, in a joint venture with Camnor Resources, staked 120,000 acres in the area while Tenajon Resources staked 45,000 acres. The two groups report that an agreement in principle has been reached with a joint-venture partner to explore the ground although no details were released. International Northair and Camnor finished unchanged at 60 cents and 45 cents respectively while Tenajon closed down a penny at 40 cents.

Gerle Gold did well, gaining 34 cents to close at $1.20. The company recently signed an option to earn a 50% interest in two blocks of ground owned by Echo Bay Mines; one in the Black River area and the other in the Itchen lake area of the Northwest Territories.

Investors continue to look for growth from International Nesmont Industrial which refines precious metals at a plant in Richmond, B.C. The issue reported first-quarter earnings of 2 cents per share for the period ended March 31, unchanged from the first quarter of 1992. Nesmont finished the week down 20 cents at $4.

Western Garnet, an industrial garnet producer, also reported first-quarter earnings during the past week, netting basic earnings of 5.1 cents per share compared with 4.9 cents per share last year. Western Garnet gained a quarter to close at $7.50.