TRANS HEX GROUP LIMITED
News Release
Diamond prices remain strong for Trans Hex
Prices received for all qualities of goods at Trans Hex's most recent tender
have remained strong in spite of a clear indication of a downturn in the US
economy.
This is according to Tokyo Sexwale deputy chairman of Trans Hex, South Africa's
second largest diamond producer by value.
"The highlight of the tender was a 36-carat D colour stone which fetched more
than US$9 600 per carat (R2.8-million). This stone characterises the type of
diamonds Trans Hex has become famous for - large and of extremely high
quality," said Sexwale.
The largest stone recovered in the Company's 36-year history, a 216-carat
octahedron, grossed R7-million (US$4 100 per carat).
"We were pleased with the price received for the large diamond," said Sexwale.
"The colour and frosted exterior combined with the internal flaws made
valuation of the piece highly speculative."
Trans Hex's production is characterised by a high proportion of stones weighing
in excess of two carats. This mix contributes to the Company receiving among
the highest average diamond prices in the world. In total there were 95 stones
in excess of 10 carats on offer that accounted for more than 35% of the total
sale price of US$12.2-million (R97-million).
Abbey Chikane, newly appointed chairman of the South African Diamond Board,
commented: "It is heartening to witness the status local producers claim on the
world diamond stage. The diamond industry is a valuable contributor to the
South African economy and it is important the industry remains strong and
globally competitive. However, we need to see more beneficiation in the
industry."
Trans Hex markets its entire production through a regularly-held tender
programme under the supervision of the South African Diamond Board. Buyers
from around the globe attend to view and bid on parcels of sorted diamonds.
The highest bid per parcel wins.
"Our price outlook remains confident," said Sexwale. "This, combined with an
expected production increase from Baken - our flagship operation - and positive
developments in the marine division, bodes well for the future."
Ends.
For further information : Peter Danchin
Trans Hex Group
Tel: (021) 939-1105
Issued by : Cullum Johnston
BHA Communications
Tel: (021) 683-2685 / 083 212-2455
Date : 22nd March 2001
Profile Group (Pty) Ltd. has taken care in preparing all information on this website, but does not accept any liability for errors or out-of-date information.
