The Trans Hex Group says that negotiations for the conversion of its prospecting contract for the Luana diamond concession in Angola to a mining contract have been successfully concluded and that the mining contract has been signed.

Through the successful prospecting activities and the approved feasibility study, Trans Hex has earned its 33% equity interest in the mining company. The diamond mining contract allows for Trans Hex to appoint the General Manager, Financial Manager and Operations Manager.

Pilot production will continue with equipment already on site, and the partners will in due course decide how the mine will be developed. Sale of Luana product will commence forthwith.

The Luarica and Fucauma operations remain mothballed with minimal care and maintenance costs being incurred.