Shares Issued and Outstanding:
65,311,488
TSXV:DMI
OTCQB:DMIFF
KELOWNA, BC, Jan. 14, 2020 /CNW/ - Diamcor Mining Inc.
(TSX-V.DMI / OTCQB-DMIFF), (the "Company") is pleased to announce
the results of tenders and sales of rough diamonds completed in the
Company's third fiscal quarter ending December 31, 2019. Subsequent to the
completion of a third and final tender for the period, the Company
increased the total rough diamonds delivered and sold during the
period to 13,218 carats, generating gross revenues of USD
$1,412,117, which resulted in an
average price of USD $106.83 per
carat for the period. This represents a significant increase
when compared to the sale of 3,759.62 carats, generating gross
revenues of USD $560,059 in the
Company's previous interim period ended September 30, 2019. A portion of the
increase in the overall volume of carats sold during the quarter
ended December 31, 2019 was
attributable to the increased level of rough diamond inventory held
as stock on hand at September 30,
2019, and the timing of the initial rough diamond tender
completed early in October of 2019. As of December 31, 2019, the Company had delivered
~1,500 additional carats of rough diamonds which will be tendered
and sold in the current fiscal quarter ending March 31, 2020. The lower dollar per carat
achieved during the period ending December
31, 2019 was expected due to the significantly higher
percentage of smaller, lower quality rough diamonds being recovered
as part of the tailings-retreatment exercises being performed at
the Company's Krone-Endora at Venetia Project (the "Project").
These exercises were aimed at allowing the Company's new
operational team to identify and correct the issues associated with
certain recovery equipment deficiencies, and the Company believes
the refinements completed will have a positive impact on recoveries
moving forward for the long-term. Operating costs were also
significantly reduced during the period ended December 31, 2019, as costs normally associated
with quarrying operations, heavy equipment, and fuel consumption
were not incurred during the period.
The Company plans to conclude the current tailings re-treatment
exercises in conjunction with the planned delivery of a new, larger
heavy equipment fleet to the Project prior to the end of
January 2020. Once deployed,
operations and the recovery of material from the Project's quarry
will resume at increased levels, and the average dollar per carat
achieved is expected to return to historically higher levels given
that all size fractions of material will again be processed. The
deployment of the larger heavy equipment fleet is aimed at
supporting increased processing volumes at lower operating costs
due to improvements in reliability, cycle times and fuel
efficiencies. Additional details on the deployment of this
new equipment and mining/quarrying operations at the Project will
be provided by the Company in the coming weeks.
About Diamcor Mining Inc.
Diamcor Mining Inc. is a fully reporting publicly traded junior
diamond mining company which is listed on the TSX Venture Exchange
under the symbol V.DMI, and on the OTC QB International under the
symbol DMIFF. The Company has a well-established operational
and production history in South
Africa and extensive prior experience supplying rough
diamonds to the world market.
About the Tiffany & Co. Alliance
The Company has established a long-term strategic alliance and
first right of refusal with Tiffany & Co. Canada, a subsidiary of world famous
New York based Tiffany &
Co., to purchase up to 100% of the future production of rough
diamonds from the Krone-Endora at Venetia Project at then current
prices to be determined by the parties on an ongoing basis.
In conjunction with this first right of refusal, Tiffany & Co.
Canada also provided the Company
with financing to advance the Project. Tiffany & Co. is a
publicly traded company which is listed on the New York Stock
Exchange under the symbol TIF. For additional information on
Tiffany & Co., please visit their website at
www.tiffany.com.
About Krone-Endora at Venetia
In February 2011, Diamcor acquired
the Krone-Endora at Venetia Project from De Beers Consolidated
Mines Limited, consisting of the prospecting rights over the farms
Krone 104 and Endora 66, which
represent a combined surface area of approximately 5,888 hectares
directly adjacent to De Beers' flagship Venetia Diamond Mine in
South Africa. On
September 11, 2014, the Company
announced that the South African Department of Mineral Resources
had granted a Mining Right for the Krone-Endora at Venetia Project
encompassing 657.71 hectares of the Project's total area of 5,888
hectares. The Company has also submitted an application for a
mining right over the remaining areas of the Project. The
deposits which occur on the properties of Krone and Endora have
been identified as a higher-grade "Alluvial" basal deposit which is
covered by a lower-grade upper "Eluvial" deposit. The deposits are
proposed to be the result of the direct-shift (in respect to the
"Eluvial" deposit) and erosion (in respect to the "Alluvial"
deposit) of material from the higher grounds of the adjacent
Venetia Kimberlite areas. The deposits on Krone-Endora occur in two
layers with a maximum total depth of approximately 15.0 metres from
surface to bedrock, allowing for a very low-cost mining operation
to be employed with the potential for near-term diamond production
from a known high-quality source. Krone-Endora also benefits
from the significant development of infrastructure and services
already in place due to its location directly adjacent to the
Venetia Mine.
Qualified Person Statement:
Mr. James P. Hawkins (B.Sc.,
P.Geo.), is Manager of Exploration & Special Projects for
Diamcor Mining Inc., and the Qualified Person in accordance with
National Instrument 43-101 responsible for overseeing the execution
of Diamcor's exploration programmes and a Member of the Association
of Professional Engineers and Geoscientists of Alberta ("APEGA"). Mr. Hawkins has
reviewed this press release and approved of its contents.
On behalf of the Board of Directors
Mr. Dean H. Taylor
President & CEO
Diamcor Mining Inc.
DTaylor@diamcormining.com
Tel (250) 864-3326
www.diamcormining.com
This press release contains certain forward-looking
statements. While these forward-looking statements represent
our best current judgement, they are subject to a variety of risks
and uncertainties that are beyond the Company's ability to control
or predict and which could cause actual events or results to differ
materially from those anticipated in such forward-looking
statements. Further, the Company expressly disclaims any
obligation to update any forward looking statements.
Accordingly, readers should not place undue reliance on
forward-looking statements.
WE SEEK SAFE HARBOUR
Neither TSX Venture Exchange nor its Regulation Services
Provider (as that term is defined in policies of the TSX Venture
Exchange) accepts responsibility for the adequacy or accuracy of
this release.
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SOURCE Diamcor Mining Inc.