TSX.V Symbol (DMI)
KELOWNA, BC, April 15, 2015 /PRNewswire/ - Diamcor Mining Inc.
(TSX-V.DMI / OTCQX-DMIFF), (the "Company") announces the results of
rough diamond tender sales for its fourth fiscal quarter ended
March 31, 2015, and that significant
progress has been achieved on the finalization of the previously
announced upgrades and expansions to its facilities at Krone-Endora
at Venetia in South Africa (the
"Project").
During the fourth fiscal quarter ended March 31, 2015 the Company sold 4,619.11 carats
of rough diamonds generating gross revenues of (US) $842,419.10 net of commissions and fees, for an
average price of (US) $182.38 per
carat. The Company also recovered an additional ~650 carats
of rough diamonds during the fourth fiscal quarter prior to the
suspension of processing early in March. The temporary
suspension of processing was necessary to complete the
aforementioned upgrades and expansions to the facilities.
These rough diamonds were held in inventory at the end of the
fiscal quarter pending their sale as part of rough diamond tenders
expected to be completed during the current quarter. Rough
diamonds recovered and sold during the period were again the result
of the processing of material specifically in the +1.0mm to -26mm
size fractions prior to the planned suspension of processing, with
the vast majority of that material continuing to be from the
lower-grade upper gravels from the K1 area of the Project.
Material in the +26.0mm size fractions continued to be screened off
and stockpiled during the period pending the completion of the
noted upgrades.
On February 5, 2015, the Company
announced that one of the Project's primary objectives, the
successful design and development of the Project's in-field
dry-screening plant for the removal of fine material under 1.0mm in
size, was meeting the Company's expectations, thus clearing the way
for the acquisition and deployment of infrastructure necessary to
effectively treat and process larger material in the +26.0mm size
fractions which, to date, had been stockpiled. The Company is
pleased to report that significant progress on the proposed
upgrades and expansions have been completed on time as envisioned,
and that the total projected costs are expected to come in under
budget. Initial processing of material through the new
expanded and upgraded facilities (including those materials
previously stockpiled in the larger +26.0mm size fractions) are now
underway at the Project, and the Company is pleased to report the
upgrades are demonstrating the stated objective of the enhanced
crushing and liberation of material in all size fractions. In
addition to completing the various upgrades aimed at enhancing
processing and the overall capacities of the Project's processing
plant, the Company also completed several other operational
enhancements including the installation of a second large material
storage and auto-loading bin to improve operational efficiencies
and reduce costs, and the installation of additional water
management infrastructure aimed at reducing overall water
consumption at the Project.
During the Company's fourth fiscal quarter ended March 31, 2015, final preparations continued in
connection with the updating of the Company's initial NI43-101
technical report. Once filed, the updated report is expected
to reflect the nature and extent of the infrastructure development
achieved at the Project, as well as other relevant data available
to this point.
The recovery of all rough diamonds during the fiscal quarter
ended March 31, 2015, was incidental
to the ongoing commissioning and testing exercises performed at the
Company's Krone-Endora at Venetia Project. The above-noted
testing exercises and incidental recoveries do not form part of the
initial NI43-101 Technical Report filed by the Company on
July 30, 2009, and thus no general
grade, price, or quality determination is intended by the Company
at this time due to the nature and purpose of the processing of
this material.
The Company's complete financial results and associated
Management Discussion and Analysis for its fourth fiscal quarter
and year ended March 31, 2015, will
be available at www.sedar.com, or on the Company's website at
www.diamcormining.com on or before July 28,
2015.
About Diamcor Mining Inc.
Diamcor Mining Inc. is a fully reporting publically traded
junior diamond mining company which is listed on the TSX Venture
Exchange under the symbol V.DMI, and on the OTC QX International
under the symbol DMIFF. The Company has a well-established
operational and production history in South Africa and extensive prior experience
supplying rough diamonds to the world market.
About the Tiffany & Co. Alliance
The Company has established a long-term strategic alliance and
first right of refusal with Tiffany & Co. Canada, a subsidiary of world famous
New York based Tiffany & Co.,
to purchase up to 100% of the future production of rough diamonds
from the Krone-Endora at Venetia Project at then current prices to
be determined by the parties on an ongoing basis. In
conjunction with this first right of refusal, Tiffany & Co.
Canada also provided the Company
with financing to advance the Project. Tiffany & Co. is a
publically traded company which is listed on the New York Stock
Exchange under the symbol TIF. For additional information on
Tiffany & Co., please visit their website at
www.tiffany.com.
About Krone-Endora at Venetia
In February 2011, Diamcor acquired
the Krone-Endora at Venetia Project from De Beers Consolidated
Mines Limited, consisting of the prospecting rights over the farms
Krone 104 and Endora 66, which
represent a combined surface area of approximately 5,888 hectares
directly adjacent to De Beers' flagship Venetia Diamond Mine in
South Africa. On
September 11, 2014, the Company
announced that the South African Department of Mineral Resources
had granted a Mining Right for the Krone-Endora at Venetia Project
encompassing 657.71 hectares of the Project's total area of 5,888
hectares. The Company has also submitted an application for a
mining right over the remaining areas of the Project. The
deposits which occur on the properties of Krone and Endora have
been identified as a higher-grade "Alluvial" basal deposit which is
covered by a lower-grade upper "Eluvial" deposit. The deposits are
proposed to be the result of the direct-shift (in respect to the
"Eluvial" deposit) and erosion (in respect to the "Alluvial"
deposit) of material from the higher grounds of the adjacent
Venetia Kimberlite areas. The deposits on Krone-Endora occur in two
layers with an average total depth of less than 15.0 metres from
surface to bedrock, allowing for a very low-cost mining operation
to be employed with the potential for near-term diamond production
from a known high-quality source. Krone-Endora also benefits
from the significant development of infrastructure and services
already in place due to its location directly adjacent to the
Venetia Mine.
Qualified Person Statement:
Mr. James P. Hawkins (B.Sc.,
P.Geo.), is Manager of Exploration & Special Projects for
Diamcor Mining Inc., and the Qualified Person in accordance with
National Instrument 43-101 responsible for overseeing the execution
of Diamcor's exploration programmes and a Member of the Association
of Professional Engineers and Geoscientists of Alberta ("APEGA"). Mr. Hawkins has
reviewed this press release and approved of its contents.
On behalf of the Board of Directors
Mr. Dean H. Taylor
President & CEO
Diamcor Mining Inc.
DTaylor@diamcormining.com
Tel (250) 864-3326
www.diamcormining.com
This press release contains certain forward-looking
statements. While these forward-looking statements represent
our best current judgement, they are subject to a variety of risks
and uncertainties that are beyond the Company's ability to control
or predict and which could cause actual events or results to differ
materially from those anticipated in such forward-looking
statements. Further, the Company expressly disclaims any
obligation to update any forward looking statements.
Accordingly, readers should not place undue reliance on
forward-looking statements.
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Neither TSX Venture Exchange nor its Regulation Services
Provider (as that term is defined in policies of the TSX Venture
Exchange) accepts responsibility for the adequacy or accuracy of
this release.
SOURCE Diamcor Mining Inc.