Projects

Namibia

In 2005 Namibian diamond production amounted to an estimated US$ 0.9 Billion about 7% of the global contribution. In Carat terms Namibia Produces about 98% of Gem quality Diamonds making it one of the world's largest producers of gem quality diamonds. Namibia produced a total of 1.4 Mct in 2003. In 2003 it was estimated that onshore operations account for about 55% of production and offshore operations for 45% of production.

It is estimated that over 100 Mct have been produced since mining began in 1908. Diamonds are mined along ancient river terraces along the banks of the Orange River, paleo beach deposits along the south western and western coast of Namibia, as well as from marine deposits situated offshore.

Geological reports of the area have been carried out in the past which indicate that the three blocks have inferred reserves of 9.5 million tonnes of diamondiferous deposits. In addition the paleo areas in blocks 10, 11 and 12 have inferred reserves of another 7 million tonnes. The reports suggest that there are between 321,250 and 477,500 cts of diamonds to be extracted from the three blocks.

Orange River Blocks

The company's first acquisition made was the right to mine three blocks situated on the Namibian side of the Orange River. Veralex (Pty) Ltd has been granted Exclusive Prospecting License (EPL) and an Exclusive Mining License (EML) in respect of these blocks. Veralex is a company registered in the Republic of Namibia, a subsidiary of Orange River Holdings. It is estimated that the company will be in full production on these blocks by May 2007. The company has also acquired a prospecting licence (EPL 2656) for the paleo regions of blocks 10,11 and 12

Detail of Orange River

The map to the left here shows a satellite view of the location of the mine.

Controls

• This map is interactive.
• Drag on the map with the mouse to scroll the picture.
• Zoom in and out using the controls in the top left.
• The outline shows the entire area for blocks 10,11 and 12

In addition given the nature of the alluvial deposits, the quality of stones is of a very high standard and range between 95% and 98% being of gem quality. This will of course be reflected in the sale price per carat. The directors estimate will be in excess of $500 per carat. Trans Hex states that they received an average of $824 per carat from their Baken and Reuning mines and Lower Orange River exploration. Trans Hex is a Diamond exploration and Mining Company with both onshore and marine (alluvial) mining operations. Their Reuning mine operates on the south Banks of the Orange River 50 kilometres upstream from Alexander Bay.

Future Projects

The company is also evaluating further blocks that sit in the same area. The company has sourced geological data on these new sites and the inferred reserves look extremely promising. Significant funding will be required to bring these projects to fruition.