By Alan Fein
(AXcess News) New York - Gold prices remained steady near the close of the week's session as major gold mining stocks appear to have peaked. But that's not the case with the junior gold mining companies who've yet to catch up to the market.
Gold futures for June delivery on the CMX were down 4.80 at $927 an ounce late Friday afternoon while the gold composite gave up 2.15% to trade at 1054.3 compared to the S&P 500 which fell 2.12% following GE's surprising drop in first-quarter profit.
Earlier this week, Yamana Gold (NYSE: AUY) was upgraded to 'buy' by UBS after the Canadian gold mining company released first quarter results in which Yamana produced 238,690 gold equivalent ounces in the quarter, above the prior guidance of 220,000. Yet after the Canadian major completed its merger with Nevada's Meridian Gold, it now stands as one of the few major gold mining companies that is considered a buy at this level.
Thursday, Dow Jones Newswire reported on what may be one of the top Canadian junior gold mining companies this year in following up on an AXcess News story last month. (See, "PDAC 2008 produces "Rock Star" amongst junior gold exploration mining companies").
According to Dow Jones' Brian Truscott, Consolidated Spire Ventures Ltd. (CZS.V) "has started to attract attention, which was underscored by the company's attendance at the recent Prospectors and Developers Association of Canada's annual conference in Toronto."
In Truscott's story, the Dow Jones reporter noted that "What makes this event rather unusual is the kind of geology this Canadian gold and silver exploration junior is sitting on: a low-sulphidization stockwork system that could one day lend itself to a high-tonnage, low-cost, open-pit, low-grade gold operation devoid of the normal contaminants often found in B.C. mines, such as lead, zinc and copper."
The market is now awaiting CZS' filing its NI43-101 assessment with Canadian securities regulators which will support the Company's prior drilling program in proving up its claims. Consolidated Spire Ventures property is located in the Spences Bridge Gold Belt, an area that in the past has not been known to contain gold, but if its Assessment proves accurate, it may be one of the newest finds in Canada and certainly one that has attracted the attention of many major mining companies.