Rockwell announces Q1 fiscal 2009 results

Rockwell Diamonds Inc. has registered revenues from sales of $7.25 million, including revenue from contract sales of $156,220, from the sale of 4,943.30 carats of diamonds, and cost of sales and amortization totalling $7.18 million, during the three months ending May 31, 2008.

Providing financial results for the Q1 Fiscal 2009, the company said it has achieved an operating profit of $148,133, however, its net general and administrative expenses amounted to $1.45 million offset by a net tax recovery of $414,012, resulting in a loss of $801,353 for the quarter or $0.003 per share.

The average price of diamond sales realized over the quarter was US$1,432.80 per carat representing an increase on the average price of US$977.07 achieved during the quarter ending May 31, 2007.

Total diamond production was 6,310.58 carats was derived from 671,981 cubic meters of gravels mined and processed at the Company’s Wouterspan, Holpan and Klipdam operations; and diamonds in inventory at May 31, 2008 totalled 2,398.87 carats.

The company further said that during quarter ending May 31, 2008, it operated three alluvial diamond mines and is currently in the process of developing and constructing a new wet rotary pan plant at the fourth operation. The existing plant is being re-commissioned and should be in production during the latter part of the second quarter of fiscal 2009.

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