Diamond Fields International Ltd. has released its results for the period ended March 31,
2006.
Net loss for the nine months ended March 31, 2006, was $4,896,063, or
five cents per share, compared with $994,631, or one cent per share, in 2005. All
revenue for the nine months ended March 31, 2006, resulted from the sale of
diamonds held in inventory or recovered during operations. A total of 11,309
carats was sold at an average price of approximately $186 per carat,
generating revenue of $2,107,399. Comparatively, the company sold 26,250
carats in the nine months ended March 31, 2005, at an average price of $205 per
carat, generating revenue of $5,391,621. Production, royalty and selling
expenses associated with the sale of inventory totalled $3,322,750, whereas
these operating costs for the same period in 2005 were $2,490,067. The
difference in costs between 2006 and 2005 resulted from the terms of the
contract mining agreement with Samicor Mining Pty. Ltd. The company generated
an operating loss of $1,215,351 for the nine months ended March 31, 2006,
compared with a surplus of $2,901,554 for the same period in 2005. Factors
contributing to the loss included downtime due to equipment failures on the MV
DF Discoverer, along with weather delays and port calls for refuelling.
The company incurred general and administrative expenses of $2,732,155
during the nine months ended March 31, 2006, compared with $2,562,852 during
2005. During the nine months ended March 31, 2006, the company recorded a
provision for impairment on certain of its exploration properties.
