The shares opened at $1.51 and, within an hour, the hype surrounding the float had driven them to a staggering high of $1.75.
This represented a nine-fold increase on their 20c issue price.
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Mining Times Newspaper June 2002
Diamond explorer Diamond Rose hopes to replicate the success of fellow explorer Striker Resources’ early results by forming a gold exploration division.
It will take advantage of exciting gold discoveries in the
“In the light of current renewed interest in the gold sector in general and the recent gold discovery by De Beers in the Kimberley region of Western Australia in particular, Diamond Rose has reviewed its own data and tenements for gold potential,” the company’s chairwoman and executive director, Pnina Feldman, said.
The as-yet unnamed gold division, to be a wholly controlled entity of Diamond Rose, will focus on existing gold anomalies within and adjacent to the company’s present tenement holdings in the
The new company hopes to develop a portfolio of high quality Australian gold projects, particularly in known gold producing regions.
It has expressed an interest in the Leonora region, from which more than 35 million ounces of gold resources have been discovered.
“Geologists who have been associated with discoveries in the region and have a thorough knowledge in the area are working with Diamond Rose and have now added projects from that area to the company’s gold portfolio.” Feldman said.
She said it was hoped the new gold division would broaden the base of the company, particularly at a time when gold is again a popular metal.
“The company remains committed to vigorously exploring for commercial deposits of diamonds through the company’s prospective portfolio of diamond exploration projects and also through its participation in the promotion of the IPO of Kimberley Rose Australia.”
The company has reviewed its diamond tenements for gold and found that certain fault structures and associated alteration are part of an epithermal style system, which may host potentially widespread gold mineralisation.
Consultant geologist John Ceplecha reviewed areas in the
As a result of this review, Diamond Rose has applied for an additional four maximum size ELAs.
Acting on the recommendations its consultants, the company has applied for another two exploration licences that straddle the Mt Margaret Mineral Field (Mt Malcolm District) and the North Coolgardie Mineral Field (Menzies District) which is from seven to 23 km west-northwest of Leonora.
The Australian
Pnina Feldman’s Diamond Rose has released details of its purchase of a Chiean copper-gold project and associated assets from Kinross Gold.
The Sydney-based diamond explorer said yesterday it would pay in advance royalty of $1 million to the Chilean state mining company Empresa Nacional de Mineria by March 15, and ongoing royalties to Kinross and Empresa Nacional amounting to $6.5 million in all. As well, it will pay Kinross a so-called net profit interest.
Diamond Rose is 49 per cent owned and chaired by Mrs Feldman, who is the sister of mining magnate Joseph Gutnick.
The company said it had budgeted about $2 million to convert known resources at the Guanaco project to reserves to start mining.
First gold is due in December, at an initial rate of 50,000-100,000 oz a year, and an average cash cost of production of less than $200 an oz. The Guanaco gold resource currently amounts to more than 1.5 million oz.
Diamond Rose plans to raise $4 million through the sale of convertible notes and shares. Diamond Rose shares resume trading tomorrow.
Diamond Rose buys Guanaco Gold
Minebox Magazine
Perth-based Diamond Rose today announced that it has concluded a sale agreement with Kinross Gold Corporation to purchase their Guanaco gold operations in
Pnina Feldman, Chair and Managing Director of Diamond Rose stated that she sees “this acquisition as fast tracking Diamond Rose’s intention os becoming a significant producer of precious metals.”
“The purchase includes all of Kinross’s Guanaco assets including its gold mine and surrounding areas, associated plant, equipment and infrastructure,” she said.
Apart from the mine, the company has exploration and mining rights over the 150sqkm Guanaco property, which covers most of the historic Guanaco Gold District in
According to independent geologist, Terry Walker, “the current gold resource is in excess of 1.5 million ounces with very significant further potential.”
General Manager of
Leighton further projected that production cash costs would be at an average below US$200 per ounce.
The company has processing facilities with a capacity to crush and heap leach 6000 tonnes per day.
International financing has been secured for the project, which is underwritten by PrimeGlobal LLC of Beverley Hills,
Feldman said: “We all feel privileged that the company is involved in a project of such magnitude at such an opportune time for gold production. We are encouraged by the enthusiasm shown by the local and overseas investment community for this project.”
Diamond Rose unveils new string to its bow
Mining News
Diamond Rose has finally released details of its acquisition of the Guanaco gold-silver-copper mine in
Diamond Rose, which made the acquisition through its Golden Rose International unit, will pay a 3% royalty on gold and silver production and a 2.5% royalty on copper produced to Kinross and state-owned mining company Empresa Nacional de Mineria (ENAMI), which owns a lease agreement for mining concessions.
The advance royalties will be paid over three years with US$1 million due before March 15.
Golden Rose will also pay a net profit interest which equates to either US$75,000 per quarter, 10% of metals or concentrates produced from mining concessions previously owned by Kinross, or 5% of the metals or concentrates produced from a mining concession previously owned by ENAMI.
Golden Rose can purchase the net profit interest fro US$7.5 million.
Guanaco contains a gold resource of 1.58 million ounces, 721,000oz of which is categorized as indicated resources and 860,000oz as inferred. Golden Rose hopes to begin production within 12 months at a production cost of below US$200 per ounce.
Production is targeted at 50,000-100,000oz for the first year and increasing thereafter. The Guanaco mine and processing facilities, currently under care and maintenance, are capable of crushing and heap leaching 6000 tonnes of ore a day.
Individual mineralized zones on the 150sq.km Guananco property range up to 180gpt gold and between 5% and 45% copper in the lower copper zones.
Overseeing the operations and development of the project are general manager Gary Leighton and senior independent geologist Terry Walker.
Leighton has spent more than 30 years in the mining industry, including as BHP’s manager of engineering and construction for the Escondida copper mine, general manager of the Zandivar copper project, construction manager at the Collahuasi copper mine, and most recently as Bema Gold Chile’s general manager of the Cerro Casale project.
Diamond Rose has budgeted A$2 million to convert the known resource into reserves before commencing mining. It plans to raise $4 million by issuing a $2 million convertible note and $2 million in shares through a prospectus underwritten by PrimeGlobal LLC.
The directors of diamond Rose, who include 49% stakeholder Pnina Feldman – sister of mining magnate Joseph Gutnick – said they view the acquisition as a fast tracking of the company’s aim to become a significant precious minerals producer.
Diamond Rose shares will recommence trading on the Australian Stock Exchange tomorrow after a trading halt was called on Christmas Eve in anticipation of the acquisition announcement.
Diamond Rose
Australian Minerals and Energy Annual Review 1997/1998
Pnina Feldman’s ability to raise eleven children and spend a decade as principal of
Resources exploring would be a dull business without its many flamboyant players, who cock a snoot at convention as they roll the dice in search of riches. Most of these characters are men, but now there is a women who can stake a claim to being the most flamboyant of all.
Fifty-two year-old Pnina Feldman cheerfully describes herself as a: “housewife and a mother of 11 children” when she floated her Diamond Rose NL on the stock exchange in April last year. The 20 cent shares shot up to $1.75 in early trading. It that was not enough to attract attention, the chairperson rocked up at the
Pnina is almost literally following in the steps of younger brother Joe Gutnick, one of the most indefatigable gold miners and diamond hunters in
Diamond Rose, named after their mother who was killed in a car accident six years ago, owns 17 tenements at locations including Walgidee Hills in
It is unfortunate that tabloid journalists gave the company a whacky name because of its alleged search for the breastplate containing 12 Hosen gemstones worn by the High Priest in the Temple of Jerusalem 3000 years ago – an item unlikely to turn up in the Western Australian desert. As the prospectus made clear, Diamond Rose is simply searching for precious and semi-precious gemstones with similar attributes to the ancient Hosen stones which symbolize the 12 tribes of
For investors who do not wish to wait that long, Pnina Feldman says she has discovered five of the stones required, including green chrome jade-like objects which she has dubbed, and trademarked, pittados. It was this discovery which got her in a spot of bother. She called a press conference at her Bondi Junction office to announce that Diamond Rose had sold a kilo of the rocks to American consumers for US$2 million, utilizing the home-shopping channel QVC. Feldman gloated that Diamond Rose had 119,000 tonnes of the stuff and, after some back-of-the envelope calculations declared to be worth $35 billion. In fact she had mislaid a zero and the notional number – by no means supposed to be a serious forecast anyway – was $350 billion. The stock exchange surveillance department got most huffy about this and formally queried the company.
The AFX is not always consistent in hauling companies over the coals over supposed transgressions. Diamond Rose is not a stock that would attract widows and orphans. Pnina Feldman owns more than half of the shares herself – a circumstance that briefly rocketed her into the BRW rich list with a $435 million paper fortune in 1997, even though the AFX insisted 71 million shares of her vendor shares be held effectively in escrow for two years after the listing. The next biggest shareholder is one George Soros who is believed to own in excess of 10 per cent, as well as directly backing the company with a $4 million buy-in of certain leases. Most of the other shareholders are nominee companies giving addresses in places like
Pnina, like brother Joe, enjoys a strong following among the
Feldman briefly studied law at
Pnina Feldman’s ability to raise eleven children and spend a decade as principal of
In common with most resource companies, and all junior exploration chips, Diamond Rose shares have tumbled over the past year. They now change hands at around 44 cents.
The company needs a win to complement the pittado prospect. Pnina Feldman says she operates on the four “M’s” principal – Money, Management, Mining and Mazel, which is Hebrew for good luck.