TORONTO, Feb. 18 /CNW/ -
"Marsfontein Joint Venture Production (SUF 40%/De Beers 60%)
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SouthernEra Resources Limited (SUF-TSE) is pleased to report that in
January and February, 1999, the remaining 197,006 carats of the 1998
production of Marsfontein M-1 diamonds was valued by De Beers at an average price of US $130.74 per carat.
During the 4-month period, September to
December, 1998, 528,754 carats of diamonds from the Marsfontein M-1 pipe were
recovered, with a total value of US $83,340,966. Total production of diamonds
from the M-1 pipe, from September 1998 to-date, now stands at 650,875 carats.
More than 80% of the total value of production to-date has been
contributed by diamonds of one carat or greater. These larger diamonds
constitute slightly over 50% of the total carats recovered."
From this I gather that there is an additional $10,302,625.00 revenue from 1998 4Q that will show up as revenue on the 1999 1Q. Of course it would follow that some of the revenue from production in the 1999 1Q will be deferred to the 2Q.
When the valuation thing shakes out maybe SUF will end up with more than $130 per carat.
Just for the heck of it I went out looking at retail diamonds the other day. A one carat rock in a ring was available for a mere $5,000.00. It was not pure white and had an inclusion visible to the naked eye- kind of like a popped popcorn kernel in a shot glass. |
