Diamond Fields’ financial results for its fiscal year ended June 30, 1999, were as follows:
During the year, the company raised nearly $11-million through the sale of the South African diamond mines, the issuance of special warrants, and subsequently through the issuance of common shares upon exercise of warrants which formed part of the special warrants. As a result, the company had a strong cash position of $9,308,999 at June 30, 1999, compared with $377,124 at June 30, 1998.
Net loss for the year ended June 30, 1999, was $1,572,530 or four cents per share, compared with a loss of $7,013,964 or 23 cents per share in 1998. During the year, the company had revenues of $197,034, generated from the sale of diamonds recovered from its shallow water concessions at Luderitz, Namibia. Despite increased development activities, administrative costs during the year decreased by 13 per cent.
The company continues to maintain a healthy cash position and currently has $9.1-million, which it anticipates should be sufficient to meet projected financing requirements to carry out the activities on its three-phased advanced sampling and test mining program on its core Luderitz project. The company has completed Phase 2 of the program and is in the process of conducting Phase 3, which is principally designed to systematically sample two large and promising geological targets. The company has contracted De Beers Marine and its sampling vessel, the MV Douglas Bay, equipped with Megadrill sampling tools to undertake the work. It is anticipated that Phases 2 and 3 of the program will cost approximately $7.5-million ($5-million (U.S.)), prior to proceeds from any sales of diamonds recovered during the program.
