BRE-X PROBLEMS BRUISE STOCKS.Byline: Bloomberg News U.S. and Canadian gold-mining stocks fell amid concern that Bre-X Minerals Ltd.'s problems with its Indonesian deposit could hurt the prospects of other gold-exploration companies. Bre-X plummeted the minute it reopened for trading at 3 p.m. Toronto time, falling as low as $2.25 Canadian as investors dumped 6.77 million shares in the first 13 minutes. The shares closed at $2.69, down $12.81 in trading of 10.3 million. In the United States United States, officially United States of America, republic (2005 est. pop. 295,734,000), 3,539,227 sq mi (9,166,598 sq km), North America. The United States is the world's third largest country in population and the fourth largest country in area. , Bre-X fell 9 13/32 to 1 31/32 in trading of 6.83 million. Bre-X said Wednesday it may have overstated o·ver·state tr.v. o·ver·stat·ed, o·ver·stat·ing, o·ver·states To state in exaggerated terms. See Synonyms at exaggerate. o its gold resources at the Busang deposit, and a report by its operating partner, Freeport-McMoRan Copper & Gold Inc., indicated it found ``insignificant amounts'' of gold in what was supposed to be the world's largest gold deposit. Since then, ``people are diving out of the junior Canadians,'' said Marc Cohen PERSONAL Marc Cohen lives in the San Fernando Valley and attended Cal State Northridge University He is married with two children. Marc was formerly President of the Starlight Childrens Foundation. , an analyst at PaineWebber, referring to small Canadian gold-mining companies. First Dynasty Mines Ltd., fell $0.85 to $3.20, while Scorpion scorpion, any arachnid of the order Scorpionida with a hollow poisonous stinger at the tip of the tail. Scorpions vary from about 1/2 in. to about 6 in. (1–15 cm) long; most are from 1 to 3 in. (2.5–7.6 cm) long. Minerals Inc. fell $1.05 to $2.60. Both companies also explore in Indonesia. In trading on the Toronto Stock Exchange Toronto Stock Exchange (TSE) Canada's largest stock exchange, trading approximately 1,200 company stocks and 33 options. , most of the top 20 stocks with the greatest percentage declines were mining stocks, led by Bre-X. The Toronto Gold & Precious Metals Precious Metals Valuable metals such as gold, iridium, palladium, platinum, and silver. Notes: Investing in precious metals can be done either by purchasing the physical asset, or by purchasing futures contracts for the particular metal. Index, which includes 37 gold and silver mining stocks, fell 906.93, or 8.66 percent, to 9559.92. One company surviving the sell-off was Calabasas-based Nevada Manhattan Mining Inc., which was unchanged at $10.50 on the Nasdaq market despite also owning Indonesian mines. In a pre-emptive strike Noun 1. pre-emptive strike - a surprise attack that is launched in order to prevent the enemy from doing it to you coup de main, surprise attack - an attack without warning against a stock sell-off, company officials announced early Thursday that the company uses independent, third-party validation of all exploration results. Nevada Manhattan Mining also said it has contracted with Behre Dolbear & Co. to provide an overview of all mining exploration activities in Indonesia. |
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