(Cape Town, April 25, 2007) — Diamond Fields International Ltd. (DFI:TSX) (“DFI” or the “Company”) is pleased to announce its latest diamond sale at an average sales price of US$239 per carat from diamonds produced from joint operations mining with Bonaparte Diamond Mines NL (“Bonaparte”) and improved production results.
2,029 carats of 95% gem quality diamonds produced by the Company’s mining vessel MV DF Discoverer from joint operations mining with Bonaparte offshore Namibia have been sold at an average value of US$239 per carat, for total sales revenue of US$484,692. The parcel included a 7.72 carat gem diamond that was sold for US$24,018 at an average of US$3,111/ct.
Total sales to date from the joint operations amount to a total of 3,372 carats, representing production up to March 21, 2007 from the first anchor spread in the Diaz Point 1 area (“DP1”), realizing a total sales value of US$831,034.
Since March 21, the vessel has operated in its second anchor spread location in the DP1 joint operations area where mining up to April 24 has produced an additional 8,739 diamonds weighing 3,468 carats at an average size of 0.40ct/st. This production has not yet been sold. Total diamond production from both anchor spreads in the DP1 area to date is in excess of 6,800 carats.
Repairs and modifications needed to improve mining capacity and efficiency were completed at the end of March and full capacity dual airlift mining commenced from 1 April 2007 and continues to date. Following joint review of production results and mining methods by DFI and Bonaparte operations staff, some adjustments to equipment configuration and mining procedure were also made resulting in further improvements to operational performance: the average daily recovery rate in the current mining area has increased by 86% from an average of 63 carats/day for the last 10 days of March, 2007 to an average of 117 carats/day for the period 1st to April 24, 2007.
Bonaparte has the right to 30% of the proceeds from the sale of diamonds recovered during the mining operations and is obligated to pay 30% of the operating and sales costs. The diamond sales were executed in terms of DFI’s existing sales agreement with Diamond Tenders (Belgium) NV in Antwerp, Belgium.
DFI’s President and CEO, Roger Daniel commented, “We are very pleased with the sales results of the second parcel mined in terms of the joint operations with Bonaparte. The sale price of $238 per carat continues to reflect the strong market for the Company’s production. We also recognize the important contribution and efforts of our mining teams and crew on board the mining vessel that resulted in the significant improvement in mining capacity and efficiency of the operation.”
Roger J. Daniel, B.Sc. (Hons) Geology, London, Pr.Sci.Nat., the Company’s President and CEO, is a Qualified Person in terms of National Instrument National Instrument 43-101 and has compiled and reviewed the scientific and technical information contained in this News Release.
DATED April 25, 2007.
DIAMOND FIELDS INTERNATIONAL LTD.
“Roger J. Daniel”
Roger J. Daniel, President and CEO
For further information, contact Roger Daniel at +27 21 425 1990
Statements in this release that are forward-looking statements are subject to various risks and uncertainties concerning the specific factors identified in Diamond Fields’ periodic filings with Canadian Securities Regulators. Such forward-looking information represents management’s best judgment based on information currently available. No forward-looking statement can be guaranteed and actual future results may vary materially. Diamond Fields does not assume the obligation to update any forward-looking statement.