NEWS RELEASE:
MARSFONTEIN JOINT VENTURE AND KLIPSPRINGER MINE - SOUTH AFRICA
- 149,595 CARATS PRODUCED AT MARSFONTEIN IN 17 DAYS OF PRODUCTION.
- DEVELOPMENT CONTINUES AT KLIPSPRINGER.
ANGOLAN PRODUCTION CONTINUES.
- 47,000 CARATS PRODUCED TO DATE IN 1998 AT CASSANGUIDI
- 24,000 CARATS PRODUCED TO DATE IN 1998 AT LUO
TORONTO, Sept. 24 /CNW/ - SouthernEra Resources Limited (SUF-TSE) is
pleased to announce diamond production results from the Marsfontein Joint
Venture Project (60% De Beers, 40% SouthernEra) in South Africa, and from the
Cassanguidi (50% SouthernEra) and Luo (46% SouthernEra) alluvial operations in
Angola.
SOUTH AFRICA
Marsfontein
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149,595 carats of diamonds have been recovered from 22,960 tonnes treated
during the first 17 days of plant operation, for a recovered grade of 652
carats per hundred tonnes. The material being treated continues to be the
overburden overlying the M1 pipe. The overburden is likely to be depleted by
the end of October. Total production from M1, including the carats recovered
from bulk sampling in August, is currently greater than 171,000 carats. The
initial valuation of the first 21,958 carats of serie diamonds from M1 was US
$204 per carat. Serie diamonds are diamonds less than 10.8 carats in weight.
Production continues to generate a significant proportion of ''special''
stones over 10.8 carats in weight which should reflect a high dollar per carat
value.
Klipspringer
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In addition to Marsfontein, Klipspringer has to-date produced 79,952
carats. Phase 1 of the underground fissure development, which will mine
500,000 tonnes, will start shortly.
ANGOLA
Cassanguidi Concession
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Total 1998 production to-date at Cassanguidi is approximately 47,000
carats with a 30,000 carat parcel now being prepared for tender sale in South
Africa. Previous sales values have averaged about US $175 per carat, and daily
production for September has averaged nearly 1,500 carats per day.
Luo Concession
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At Luo, 1998 production to-date has reached 24,000 carats. Plant repairs
and construction of a new river diversion have lowered current production
rates to about 100 carats per day. This is expected to increase later in the
month as operations begin in the newly diverted river channel. Sales this year
have returned an average value of approximately US $165 per carat for Luo
diamonds.
The Company receives 50% of revenues from Cassanguidi and 46% of revenues
from Luo.
Elsewhere, exploration continues on the Camafuca kimberlite evaluation
where over 10,000 tonnes of material have been excavated for bulk sample
testing.
%SEDAR: 00004535E
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For further information: Christopher M.H. Jennings, President; A. Lee
Barker, Vice President; Kim Freeman, Chief Mining Engineer; Frank van de
Water, Chief Financial Officer; Nicholas Sayce, Investor Relations; Phone:
(416) 359-9282, Fax: (416) 359-9141, e-mail: inbox@southernera.com,
southernera.com
PHIL |
