LONDON (Alliance News) - Golden Saint Resources Ltd Tuesday said it is focused on maintaining a consistent level of diamond recovery from its West African projects, and said although it will have to conduct private placings of shares if it needs further working capital, it is hoping revenue will soon begin to supply the company with the funds it needs.
The diamond and gold exploration company in West Africa said it has recovered a total of 233 carats of diamonds during the first stage of bulk sampling from its Baja project in Sierra Leone. The diamonds are mainly white and a mixture of sizes up to two carat pieces, it said.
Golden Saint said the larger stones of a minimum of 0.5 carats will be cut, polished and GIA certified, while smaller ones will be sold either as rough diamonds or after being cut and polished.
GIA is a non-profit institution that established the International Diamond Grading System.
"The immediate focus of the company is to maintain consistent diamond recoveries as well as furthering exploration activities on the company's diamonds and gold tenements," said the company.
Golden Saint will meet any further working capital requirements through private equity placements, but is hoping that as diamond recoveries increase over time, it will be able to fund working capital from revenue, it said.
"The company still faces huge challenges, but based on initial results from Baja, the board has confidence that if the company can achieve consistent recoveries of diamonds form both alluvial and bulk sampling operations, revenue should increase bringing with it the availability of working capital which should assist with the ongoing exploration and mining operations of the company in the longer term," said Cyril D'Silva, executive chairman.
Golden Saint shares were down 6.2% to 0.366 pence per share on Tuesday morning.
By Joshua Warner; joshuawarner@alliancenews.com; @JoshAlliance
Copyright 2015 Alliance News Limited. All Rights Reserved.
