Vaaldiam Resources Ltd.
TSX : VAA

Vaaldiam Resources Ltd.

November 06, 2007 11:35 ET

Vaaldiam Resources Ltd.: Duas Barras Mine Produces at an Annualized Rate of Over 60,000 Carats During October

TORONTO, ONTARIO--(Marketwire - Nov. 6, 2007) - Vaaldiam Resources Ltd. (TSX:VAA) reports that its 100%-owned Duas Barras Mine produced a total of 19,366 diamonds with a total weight of 5,081.96 carats from 24,243.96 bank cubic metres of gravel during the month of October, the second month of commercial production at the mine equivalent to an annualized rate of production of 60,984 carats. The average recovered diamond grade during September was 0.21 carats per bank cubic metre, which is 11% higher than the recovered diamond grade for the previous month and 31% higher than the projected resource grade of 0.16 carats per bank cubic metre. Approximately 4.34 kilograms (138 troy ounces) of by-product gold was also produced during the month resulting in a recovered gold grade of 0.18 grams per bank cubic metre.

Ken Johnson, President and Chief Executive Officer of Vaaldiam commented that, "We are extremely pleased with October's production at our new Duas Barras mine. Our plant availability increased 10% over the previous month which resulted in a 6% increase in the volume of gravel throughput. Recoveries showed a dramatic increase of 28% in the number of diamonds recovered, and 18% in carat weight, while overall diamond grade increased 11% over September's production."

Total production since May 2007, when commissioning of the processing plant started amounts to 54,181 diamonds totalling 14,290.28 carats and 16.08 kilograms (515 troy ounces) of gold from 67,868.71 bank cubic metres of gravel. The following table provides a summary of the diamond production at Duas Barras on a monthly basis since the commencement of operations, including plant commissioning.



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Average Recovered
Ore Total Stone Diamond Gold
Volume Diamonds Weight Size Grade Recovered
Month (bcm) Recovered (carats) (cts) (cts/bcm) (kilograms)
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Not
May 91.00 313 54.67 0.17 0.60 Recovered
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Not
June 1,037.46 2,556 447.73 0.18 0.43 Recovered
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July 4,014.09 6,610 1,240.33 0.19 0.31 0.85
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August 15,644.38 10,197 3,161.81 0.31 0.20 4.99
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September 22,837.82 15,139 4,303.78 0.28 0.19 5.90
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October 24,243.96 19,366 5,081.96 0.26 0.21 4.34
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Totals 67,868.71 54,181 14,290.28 0.26 0.21 16.08
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(i) Production for May, June & July reflects production using a bottom
screen of 1.4 mm square mesh, which was changed to a 2.0 mm square
mesh bottom screen in late July resulting in a decrease in recovered
grade and a corresponding increase in production and in the average
stone size of the diamonds in August, September and October which is
expected to be reflected in a higher average sales value for the
production generated during the past three months.


This release has been reviewed by Jose Ricardo Pisani, Vice President, Exploration and Paul Daigle, P.Geo., Senior Project Geologist who are qualified persons under National Instrument 43-101.

This press release contains certain forward-looking statements. In certain cases, forward-looking statements can be identified by the use of words such as "plans", "expects" or "does not anticipate", or "believes", or variations of such words and phrases or statements that certain actions, events or results "may", "could", "would", "might" or "will be taken", "occur" or "be achieved". Forward-looking statements involve known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements of the Company to be materially different from any future results, performance or achievements expressed or implied by the forward-looking statements. Such factors include, among others, risks related to international operations; risks related to joint venture operations; actual results of current exploration activities; changes in project parameters as plans continue to be refined, future prices of resources; possible variations in reserves, grade or recovery rates, accidents, labour disputes and other risks of the mining industry; and delays in obtaining governmental approvals or financing or in the completion of development or construction activities. Although the Company has attempted to identify important factors that could cause actual actions, events or results to differ materially from those described in forward-looking statements, there may be other factors that cause actions, events or results to differ from those anticipated, estimated or intended. There can be no assurance that forward-looking statements will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Accordingly, readers should not place undue reliance on forward-looking statements.

Contact Information

  • Vaaldiam Resources Ltd.
    Ken Johnson
    President & Chief Executive Officer
    (416) 363-6927
    or
    Vaaldiam Resources Ltd.
    Janet Reid
    Manager, Investor Relations
    (416) 363-6927