Crystallex Confirms Las Cristinas Position

Wednesday September 21, 10:17 am ET


TORONTO, Sept. 21 /PRNewswire-FirstCall/ -- Crystallex International Corporation (Amex: KRY; Toronto) responding to selling pressure in the Company's shares, Crystallex International Corporation's President and Chief Executive Officer, Todd Bruce, reiterated today from the Company's offices in Caracas that there has been no change in the status of the Las Cristinas project or Crystallex's mine operating contract in Venezuela. We are aware of newswire reports which have resulted in pressure on the share price of the company in particular, and on Venezuelan gold mining companies in general. Crystallex prefers to keep the market informed on facts rather than media interpretation and speculation. Although subsequent reports have clarified the initial news wire story, the Company felt it appropriate to comment as follows:

"Todd Bruce remarked that the market seems to have reacted in particular to a Dow Jones news wire story which reports President Chavez stating that

'Las Cristinas belongs to Venezuela. We will build a national mining company there.'"

Mr. Bruce noted, "This statement is consistent with the existing situation. The Las Cristinas deposit is indeed owned by Venezuela and administered through the CVG which is a regional natural resource development arm of the central government. The CVG has contracted Crystallex to be its operator for the Las Cristinas project. Our contract is founded and premised upon the ownership of the resource by the Republic of Venezuela. Our commitment is to develop the Las Cristinas assets in accordance with the terms of our contract for the benefit of our shareholders, the Republic and the citizens of Bolivar State. The government is actively pursuing the establishment of a national resource development entity, the core assets of which would consist of mining assets provided by CVG. Thus the Las Cristinas deposit could become a core asset of any new organization created. Our mining contract would remain in tact and be administered by the new mining company. Nowhere has it been said that Venezuela does not intend to honor valid and subsisting contracts with reputable and performing international companies. The creation of the new national mining company would therefore have no practical impact on Crystallex as it is the mine operating contract that governs our role."

Mr. Bruce added, "I would draw the market's attention to the Reuters news wire report that was issued after the initial Dow Jones article to stress that the Reuters article specifically stated:

'Chavez did not say Venezuela would revoke the contract to Crystallex or

that the gold mine the company (Crystallex) was planning to develop would

now be developed by the new state company.'

and to the Vheadline article which noted:


     'Somewhat frustrated senior (government) officials speaking exclusively
     to VHeadline.com early this afternoon say that (again) some sectors of
     the international news media have (perhaps purposely) misconstrued the
     President's words to mean that the government is expropriating the Las
     Cristinas gold mine from Toronto-based gold miner, Crystallex
     International (KRY).

     'Nothing could be further from the truth ... the Venezuelan State has
     always owned Las Cristinas ... what needs to be explained is that we have
     cleared illegal miners off the site so that Crystallex may begin mining
     operations under it's exclusive Mine Operations contract with the
     Venezuelan Guayana Corporation (CVG).'"

Crystallex fully intends to continue in the fulfillment of its obligations under its Mine Operating Agreement ("MOA") upon receipt of the final environmental permit.

A KRY já está a negociar (desde as 15:46). Neste momento sobe cerca de 30%, para os $1,84.

Mas o mal já está feito. Agora teria que valorizar quase 100% para voltar aos valores a que negociava anteriormente.

Citação de: Paciente em Setembro 21, 2005, 16:16
Antunes,

A KRY ainda não abriu. A GRZ já sobe mais de 14%!

Quando aos retracements, devem ser calculados desde o mínimo de MAI deste ano (quando se iniciou este último impulso) até ao máximo atingido na sessão de segunda-feira. No caso da BVN, os 23,6% de retracement situa-se nos $29,15.

Se calculares dessa forma, verificas que algumas acções já testaram ontem esse nível ou ficaram lá muito próximo.

A BVN também faze hedge. O problema é que a maioria dos contratos de hedge das empresas que seguem esta política foram feitos a valores entre os $300 e os $350,  numa altura em que o mercado do OURO estava em queda (década de 90).

Agora com o OURO nos $450, esses contratos afectam negativamente os resultados. Muitas destas empresas têm vindo a reduzir os contratos de hedging que têm em carteira. Mas ainda existem posições algo comprometedoras (e de dimensão assinalável) em alguns destes grandes hedgers.


Abraço

Abriu em gap up sim senhor (a 2.9) mas já está a 1.81...

Antunes, abriu às 15:46:02 com 2 lotes (um de 5.500 e outro de 119.400 acções) transaccionados a $2,00.

Pelo menos é o que o meu "feeder" (Ameritrade Canada) de cotações indica.

Tens razão, o meu "feeder" é que está louco...

...pois se calhar é isso que vai acontecer á maior parte das mineiras...., porque estes máximos não me convencem nada de que estamos em BULL acho que mesmo o padrão bem feio...., mas o tempo o dirá...mas isso não quer dizer que algumas acções não suba e ouro mais uns ticks....

Venezuela Backs Off Mining License Threat

Friday September 23, 6:15 pm ET 


Venezuela Will Not Cancel Mining Licenses of Foreign Companies Abiding Law, Lawmaker Says

CARACAS, Venezuela (AP) -- Foreign companies abiding by Venezuelan law will not have their mining licenses canceled by the government, a Venezuelan lawmaker said Friday.

Venezuelan President Hugo Chavez said Wednesday that his government had decided to cancel all mining licenses and stop issuing new ones to foreign companies, accusing them of gaining rights to mines and leaving them idle.

Pedro Jimenez, head of the National Assembly's energy and mines commission, said Friday that only mine concessions considered inactive or in violation of the law would be affected.

"All those local or foreign investors that follow the law will be respected completely," according to a statement posted on the assembly's Web site.

The state-owned mining conglomerate Corporacion Venezolana de Guayana, CVG, has been reviewing mining contracts and concessions.

It had not been clear from Chavez' comments how foreign companies working here under operating contracts with CVG, like Canada-based Crystallex International Corp., would be affected.

Crystallex has been seeking to develop the Las Cristinas mine in east Venezuela believed to hold one of the world's largest undeveloped gold deposits.

Jimenez indicated Friday that project was not at risk.

"The Las Cristinas project is of vital importance for Venezuela and is needed for the local economy. The project includes a contract with Crystallex and small groups of miners," the statement notes. "Citizens know that this Canadian company has made efforts to alleviate social tensions in that area," he added.

Shares of Crystallex and other mining companies had dropped earlier this week after Chavez announced plans to build a new national mining company in Las Cristinas.

The company said Wednesday that its plans remain on track to begin commercial gold production in the second half of next year, at an initial rate of about 300,000 ounces a year. Company officials are awaiting environmental permits that are considered a mere formality.

Environmentalists and indigenous groups have tried to block the mine's construction in the past, saying the work could cause environmental damage and disturb nearby American Indian communities. Government officials have said there would be minimal environmental damage.

Illegal miners have been extracting gold for decades in the area, located among forests some 750 miles southeast of Caracas, the capital.