27th Sep 2006 07:00
Namibian Resources PLC27 September 2006 Namibian Resources Plc - Six Monthly Progress Report to 31st August 2006 27 September 2006 Production Production has been concentrated on the East Saltztel and has far exceeded ourexpectations. During the first six months of the current financial year the following resultshave been achieved. (1) A total of 6,650 stones have been recovered for a total of 4,391 carats with an average size of €66 carats per stone. (2) A total of 766 stones were in excess of 1 carat including 31 stones between 2 and 7 carats. (3) The average grade was 27€75 carats per 100 tons gross. The comparative figures for the first six months of 2005 were:- Stones 5,576, carats 3,276, average size €59 carats and grade 23 carats perhundred tons gross. Production in percentage terms compared to the first 6 months of 2005 hasincreased as follows: Stones produced have increased by 20% Carats produced have increased by 34% Average size has increased by 12% Grade i.e. carats per hundred tons gross has increased by 20% This production has been achieved despite the worst rainstorm since recordsbegan which occurred in March. Many of our areas were severely flooded andaccess tracks washed away. Part of the East Saltztal is still flooded but thewater is gradually evaporating. We estimate that a further 3,000 carats mightremain on this particular resource but mainly under water. We intend thereforeto carry out a sampling programme on the Annatal just north of the East Saltztalwhere past records show that stones of between €25 and 1 carats were recoveredin the early 1900's. We will return to the East Saltztal when the samplingprogramme is complete in approximately six weeks time. It is encouraging tonote that carat production for the first six months of this financial year isonly 533 carats less than for the whole of the financial year ended on 28thFebruary 2006. Saltztal West This resource at present is deeply under water but the areas mined initially arestill exposed. Bedrock clearing of residue gravel should provide additionalproduction. We are now entering the period of high winds for the next 2 to 3months and this will cause some periodical downtime when winds reach as high as90kmh. However, high temperatures during the summer months will assist indrying out those areas which, are still under water and with the identifiedmining areas production during the remaining six months of this financial yearshould be satisfactory. Overview The total resources available for exploration are 120 square kilometers. Ourexperience over the last four years has resulted in all cases in production wellin excess of the historical mining results achieved by the German miners of theearly 1900's. This is due to the fact that mining in those days was extremelyprimitive. Hand digging and screening of dry material has resulted inconsiderable residual diamonds being available to us in untouched and previouslymined areas. It is also considered that economic diamond resources areavailable in the old tailing dumps, which are present throughout the area. Our half-yearly results to 31/08/06 will be released before the end of October.A further progress report will be given in late December. A C A CarltonChief Executive Officer Namibian Resources Plc. Tel: 020 8726 0900 This information is provided by RNS The company news service from the London Stock ExchangeRelated Shares:
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