April 15, 1997 news release
FINANCIAL RESULTS FOR QUARTER ENDED 28 FEBRUARY 1997 QUARTERLY REVIEW
Nasdaq Trading Symbol: NMCOF
TSE Trading Symbol: NMR
VSE Trading Symbol: NMR
NSE Trading Symbol: NMC
LONDON, England, April 15 /CNW/ - Namibian Minerals Corporation (NAMCO)
announces its results for the nine months ended 28 February 1997. Income for
the nine month period was C$864 000 (1996: C$1 193 000). Loss for the nine
months was C$2 573 000 (1996: C$1 355 000) and the loss per share was C$0.08
(1996: C$0.06).
Resource property costs for the period were C$4 440 000 (1996:
C$10 011 000). At the end of the period total cash and short term investments
was C$16 625 000 (1996: C$12 565 000).
The Company's development of its Mining Project off the coast of Namibia
progressed well throughout the period and commissioning is on target for third
quarter 1997.
The US$15 million Project in collaboration with SubSea Offshore Ltd., a
Dresser Industries company, involves the design and construction of a seabed
mining tool, the NAMSSOL. The tool will be totally self-supported from a
mother ship, on which all processing will be carried out. The NAMSSOL is
designed to recover one million cu.m. of material per annum from the ocean
floor through its centrifugal pumping system. It is specified to mine between
0.3 and 0.4 sq.km. per annum and to be operational for an average of 300 days
per annum. Mining will commence in the Koichab area of the Company's Luderitz
Bay Grant in approximately 70 metres of water.
The Company has secured its mining vessel for the Project. It is
currently being modified in Bremerhaven, Germany, with Owner's modifications
costing approximately US$3 million. The vessel has been chartered for five
years with options to extend for a further five years and will be named
Kovambo in honour of Namibia's First Lady. It is scheduled to arrive in Cape
Town in July 1997 for installation of the 50 tonne per hour Dense Media
Separation Plant which is being built by Van Eck & Lurie, a Bateman's company.
The Company has completed its Mining Licence application and submitted
its Environmental Impact Assessment Report and Environmental Management Plan
to the Namibian Ministry of Mines and Energy during the period. On 4 February
1997 the Ministry granted the Company a 15 year Mining Licence over
approximately 150 sq.km. of the Koichab Area.
Subsequent to the end of the period, the Company has announced the
acquisition of diamond concession areas in Angola and Zaire. In Angola,
initial agreements have been concluded over three concessions of the Lunda
Norte province, totalling 664 sq.km. This includes a 50 km. stretch of the
Chicapa River, an area of significant Angolan diamond production.
In Zaire, the Company has acquired a 70% interest over ten exploration
licences and one mining permit encompassing a 262 sq.km. area.
Final regulatory approvals are awaited.
The Company views the acquisitions as part of its growth strategy to
become a significant African diamond producer.
On 1 April 1997 the Company listed its shares on the Nasdaq Stock Market.
The trading symbol is NMCOF.
The Company continued its policy of community participation in Namibia by
contributing to health, education and wildlife schemes throughout the period.
ON BEHALF OF THE BOARD OF DIRECTORS OF NAMIBIAN MINERALS CORPORATION
(signed)
J.C.F. Purdy
Chief Financial Officer |
