Business
Diamond Sale, Marine Mining and Exploration Update
Diamond Sale, Marine Mining and Exploration Update.
About this update from Dfr Gold Inc
[{"type":"text","content":"\n\n\n\nSYMBOL: DFI\n\n\nCAPE TOWN, Sept. 6 /CNW/ - Diamond Fields International Ltd. (DFI:TSX)\n("DFI" or the "Company") announces latest sales results and production from\nmarine diamond mining joint operations ("JO") with Bonaparte Diamond Mines NL\n("Bonaparte"), and is also pleased to announce a new JO resource sampling\nprogramme.\n\n\nDiamond sales and production update\n\n\nDiamond production from June to mid August 2007 totaling 3,727.86 carats\nwas sold in late August and realized a total of US$872,813 at an average price\nof US$234.13 per carat. This sale included a 2.45 carat pink diamond that sold\nfor US$41,089 (US$16,771 per carat). Sales of production under the JO up to\n13 August 2007 comprises a total of 14,294 carats realizing US$3,138,832 at an\naverage price of US$219.58/ct.\n\n\nIn terms of the JO agreement Bonaparte has the right to 30% of the\nproceeds from the sale of diamonds and is obligated to pay 30% of agreed\noperating and sales costs.\n\n\nThe unusually severe winter weather conditions and resultant technical\nproblems that affected operations and reduced production in June continued\nthrough July and August with production for those months being 1,434cts and\n874 carats respectively. Average stone size and diamond quality throughout\nthis period remained good with average size maintaining 0.43 carats/stone.\n\n\nAvailable mining time and production was affected by a combination of\nexceptional factors including direct stoppages as a result of weather\nconditions, equipment damage and breakages (mainly mining hoses and mining\nwires) as a secondary result of the severe weather and dragging of anchors\n(again due to harsh weather) resulting in the vessel being unable to maintain\nits desired position. Replacement of the damaged mining hoses was required\nsooner than anticipated and time was lost while the hoses were sourced and\ndelivered from Ireland. The hose problem resulted in frequent stoppages to the\nport airlift as available hoses were applied mainly to keeping the starboard\nairlift operating.\n\n\nProduction is expected to again increase in the December 2007 quarter\nwith improving weather conditions and return to full operational capacity as a\nresult of the replacement and repair of certain equipment on the mining\nvessel.\n\n\nMining in the JO ar...