Vancouver Stock Exchange December blahs on the way

Trading activity remains sluggish in Vancouver, as evidenced by the VSE Index which at press time had tumbled to a new low of 799.68. To top that off, glitches in the VSE’s computerized trading system have yet to be resolved and December (not a favorite month with brokers) has arrived. Worries about the deficit, higher interest rates, inflation, and a noticeable increase in investor skepticism are also reported to be contributing to a lacklustre market.

The flurry of investor interest that had been roused in recent weeks by several new discoveries (or so they seemed at the time) appears to be on hold as further results are awaited.

A number of holes from a renewed winter drill program have already been completed by Calpine Resources at the Eskay Creek project near Stewart, B.C., and assays are expected shortly.

Investors remain intrigued; the issue was ahead 8 to $2.15. The company is earning a 50% interest from Consolidated Stikine Silver which posted a much larger gain of 93 to $5.88.

Noront Resources climbed 12 to $1.92 as considerable investor interest was piqued by the large scale exploration effort operated by Noranda Exploration on the Grub Line joint venture in north-central Newfoundland. Reports indicate that earlier work by Noranda located numerous gold showings with variable styles of mineralization ranging from lode-gold to epithermal type. Although an early stage project, it’s clearly one to watch.

War Eagle Mining, taking its free- fall from investor grace in stride, said it is now set to begin a winter drill program on its Idaho gold property, concentrating on a zone of interest lying to the south and east of its discovery hole (earlier holes to the south-west and west contained no significant mineralization). The issue was off a further 55 to $1.05.

A recent private placement is to used by Crest Resources to continue its participation in a joint ventured property being drilled next to the Snip project in the Iskut River area. The Prime Capital company gained 10 to $1.15, while partner Magenta Development was off 2 to 75 . Murray Pezim and several associates were appointed to the board of Thios Resources, which lost 14 to 40 .

Atlanta Gold, active on a gold project in Idaho, was up a dime to $2.90, and some interesting assay results from a drill program on a group of claims in the historic Rossland gold camp of B.C. resulted in a 20 gain to 85 for Antelope Resources.