Etruscan Diamonds profits from Klipgat mine in SA

Etruscan Resources and Mountain Lake Resources, Publicly traded Canadian mining firms, reported that their South African diamond mining subsidiary Etruscan Diamonds produced 6,782 carats of rough in the three months ending November 30. The quantities came from alluvial mines in South Africa�s North West Province�Klipgat. The mine is operated under contract by Gothoma Diggings and Tirisano joint venture with Mvelaphanda Exploration.

Klipgat produced 2,858.32 carats at an average grade of 2.16 carats per 100 cubic meters of treated gravel. The average stone produced at the mine during the three-month period weighed 1.01 carats, and the biggest one weighed in at 17.81 carats. Sales of rough from Klipgat totaled 2,925.37 carats at an average price of $411.42 per carat during the period.

Tirisano averaged 2.05 carats per 100 cubic meters during the quarter and 2.95 carats per 100 cubic meters during November. Sales of the mine�s output during the first nine months of 2005 averaged $578 per carat, and individual roughs weighing 60.28, 20.24 and 16.30 carats were found during the three months ending November 30. However, the partners have agreed to put the mine on maintenance mode until the exchange rate of the rand to the dollar improves.