Gold has fallen below the $400 mark once again. It closed down US$9.85, at US$394.40 per oz. in the afternoon in London. The gold index was also down by 1.88%, or 3.73 points, to close at 194.90. The diversified metals and mining index was up .05%, or .12 point, to close at 225.37 points. The S&P TSX composite index was up 0.35%, or 29.65 points, to end at 8,498.52 points.Five mining stocks traded over 2 million shares each.
Wheaton River once again led the way in volume, trading 8.46 million shares. Shares were down 1.33%, or 5, to close at $3.71. Today Coeur d’Alene Mines increased its bid to $5.47 cash, or 0.796 share, per Wheaton share. An all-cash buyout would make Coeur’s offer have a value of $2.63 billion based on its closing price Monday. The offer provides a 23% premium over Wheaton’s Monday closing price and 13% higher than Iamgold‘s previous offer. Coeur D’Alene closed down 4% on the New York stock exchange.
Iamgold also received an increased bid from its suitor Golden Star Resources. Golden Star has offered Iamgold shareholders the option of 1.25 Golden Star shares per Iamgold share, or 1.15 Golden Star shares plus 50 cash per share. The previous offer was 1.15 Golden Star shares per Iamgold share. Shares in Iamgold were down 3.75%, or 28, to close at $7.18 on a volume of 2.68 million shares. Golden Star closed down 3% on the New York stock exchange.
Russel Metals traded second in volume among the miners at 5.1 million shares and lost 1.16%, or 13, to close at $11.11. Lionore Mining traded third in volume to close down 5.5%, or 35, at $6. Neither company released news to account for the high volume.
Aur Resources closed down 8%, or 51, to close at$5.97 on a volume of 3.3 million shares. Aur and Inmet announced a cancellation of their plans to merge. Inmet stock was up 4%, or 71, to close at $18.52 on a volume of 929,000 shares.
UEXclosed up 8.4%, or 7, at 90 on a volume of 857,000 shares. It reported that the radioactive springs area in the southwestern part of the Riou Lake project in northern Saskatchewan will be the focus of an intensive drilling program this winter. In separate news UEX agreed to budget $5.2 million this summer and fall for exploration on some of COGEMA Resources‘ northern Saskatchewan properties that it has optioned.