Miner Takes to the Internet

April 21, 1999

Miner Takes to the Internet

It usually takes many months and several channels of distribution for gemstones to move from the mine to retail stores. Now one Canadian-based mining company is bypassing this process with a plan to sell gemstones and jewelry on its Web site.

American Gem Corp., a Toronto, Ontario, company that mines Montana sapphires, says it is developing a full-service e-commerce Web site on which it will sell its sapphires and finished jewelry. The company, which also has an office in Helena, MT, says it may acquire a brokerage firm to develop an on-line trading business. Since the announcement, American Gem has seen heavy trading on the Toronto Stock Exchange as investors seek inexpensive, high-technology stocks, according to Reuters.

This is the second Canadian miner in recent months to stir up the stock exchange with the announcement of new ventures. Dejour Mines of Vancouver, British Columbia, recently invested $250,000 in InstantDocuments.com, a courier that offers same-day document delivery worldwide.

- by Stacey King