Explorer-turned-producer
Ekati, Canada’s first and only diamond mine, produced 1.3 million carats in the 6-month period and sold 1.2 million carats at an average price of US$169 per carat. This compares with 1.3 million carats produced in the corresponding period of last year, with sales of 936,000 carats at US$163 per carat. There were five sales during both 6-month periods.
Dia Met earned $21.1 million (or 69 per share) in the half-year ended July 31 on revenue of $55.4 million, versus $10.1 million (33 per share) earned on revenue of $40.1 million in the year-ago period.
The company continued to pay down its debt obligations, which, at the end of July, totalled 166.7 million, down from 204.7 million at Jan. 31, 2000. Since August, Dia Met has applied 90% of its share of cash flow to repaying its debt obligations, and 10% to fund corporate activities.
Situated 300 km northeast of Yellowknife, Ekati is operated and 51%-owned by BHP Diamonds, a subsidiary of
During the winter 2000 program of exploration drilling, BHP discovered four new kimberlite pipes. However, none of the new occurrences yielded significant microdiamond results. To date, 125 kimberlites pipes have been discovered on the Ekati property, including 37 on the outlying Buffer zone claims. The Buffer zone block, which surrounds the central Core group of claims, is held 51% by BHP, 31.2% by
During the past winter, BHP bulk-sampled the Wolverine, Zach and Cougar pipes on the Core claims, as well as the Lynx pipe on the Buffer zone. The bulk-sampling was effected by large-diameter reverse-circulatoin drilling, with samples processed on-site during the summer.
Be the first to comment on "Stellar results from Ekati mine drive Dia Met Minerals"