Key points
- Survey correlation work in the 12b concession in South Africa yielded approximately 50 carats of gem quality diamonds averaging 1 carat each.
- The Namibian government granted the company a new 98,000 hectare marine diamond concession next to its Hottentot Bay grant, doubling its 100% owned areas.
- Namco signed a 180 day bulk sampling contract with Alluvial Mining (Royal Boskalis Group) to deploy the Namrod, which can process up to 50 tons of material per hour, with North Sea trials in January and southern African deployment by end of February.
- The company raised R22.5 million in new equity at R9.25 per share (C$2.76) and expects to end the third quarter with approximately $23 million in cash.
Continued survey correlation work on a limited scale in the company’s
12b concession in South Africa has yielded approximately 50
carats of gem quality diamonds, the average size of which is 1
carat.
The Namibian government has made a new grant to the company
of 98,000 hectares (980 square km) of marine diamond
concession next to its Hottentot Bay grant and to the
north of BHP’s newly acquired interest. This grant has doubled Namco’s areas in which it holds a 100%
interest.
The company has sought to balance its marine holdings by applying
for onshore concessions in Namibia.
The company has signed contracts with Alluvial Mining (Royal Boskalis
Group) to undertake an extensive 180 day bulk sampling program which involves the development of the Namrod using their
proven technology. This will provide the capability of cleaning 2m of overburden down to bedrock over 10 square metres. Gravel
pumps, primary screening and articulated means of boulder removal
will be encompassed in one piece of machinery on
the ocean floor and up to 50 tons of material per hour can be entrained
once deployed.
The existing exclusive arrangements
with Boskalis extend over the Namrod. Planning is on target with anticipated North
Sea trials under way in January and deployment in southern African
waters by the end of February.
Mr Phil Dickinson of Alluvial Mining (Boskalis) joins Namco
as engineering manager October 1.
The company has appointed Ivor Jones, previously with Endiama Diamond Mines (Angola), Roan Selection Trust and J.C.I.,
as chief metallurgist in southern Africa.
On September 29 the company became the eleventh dual listed company on the Namibian stock exchange.
The company has raised R22.5 million in new equity at R9.25 per share
(C$2.76). The issue satisfied was over-subscribed and a major financial
institution has become a significant shareholder.
We will end the third quarter with approximately $23 million
in cash.
