17th Oct 2005 09:20
Dwyka Diamonds Limited17 October 2005 17 October 2005 RECOMMENCEMENT OF OPERATIONS AT BLAAUWBOSCH DIAMOND MINE The directors of Dwyka Diamonds Limited ("Dwyka" or "the Company") are pleasedto announce the recommencement of operations at its recently acquiredBlaauwbosch Mine. The refurbished plant recommenced operations on 10 October 2005, on a feed ofold tailings material. No problems were encountered and the plant is nowoperating one shift per day. Shaft sinking is currently ahead of schedule inpreparation for the mining and processing of underground ore at a capacity of10,000 tonnes per month by April 2006. During the evaluation of Blaauwbosch Mine by Dwyka Diamonds, re-processing oftailings alone gave a recovery of about 14 carats per hundred tonnes (cpht) anda diamond value of US$ 30 per carat. With the present exchange rate ofapproximately R6.50/US$, the revenue from tailings re-treatment alone will bemore than double the plant operating costs. At full production the Company anticipates processing 10,000 tonnes per month toproduce about 42,000 carats of diamonds per annum, with an annual value ofapproximately US$3.5- 4 million. Dwyka acquired the Blaauwbosch Mine in August 2005. For further information please contact: In Australia: In United Kingdom:Melissa Sturgess Laurence Read/ Leesa PetersDwyka Diamonds Limited Conduit PR(+618) 9324 2955 (+44) 20 7618 8707/ (+44) 7979 955 923 Or visit: http:// www.dwykadiamonds.com This information is provided by RNS The company news service from the London Stock ExchangeRelated Shares:
Nyota Minerals