Tahera Corp Losses Plunge in 2004

Canadian diamond explorer Tahera Corp reported its losses for 2004 shrunk to $2.54 million from $20.61 million a year earlier since there were no write downs for exploration and development projects. The write-down for 2003 amounted to $18.45 million.

Tahera, which is developing its wholly-owned Jericho Diamond Project as Canada's next, and Nunavut's first diamond mine, said operating expenses rose slightly to $2.89 million in 2004 from $2.40 million a year earlier.

Tahera said construction at the Jericho mine began last month and detailed engineering was 90 percent complete with all major equipment and materials having been purchased and scheduled for delivery to the site.

The explorer said extensive site preparation activities are underway at the mine, with the fuel storage farm due to be completed by the end of this month and the accommodation facilities expected to be ready for occupancy by the end of April.

Tahera's development schedule calls for substantial completion of mine construction by the end of this year, and the start of commercial diamond production in early 2006. Tahera's exploration budget for 2005 is approximately $6 million.

Tahera said during this month and April, it will carry out further evaluation of the Muskox kimberlite, located on the De Beers joint venture property (Polar Project) approximately 14 kilometers southwest of the Jericho kimberlite.

Based on sampling campaigns, the kimberlite is significantly diamondiferous and has considerable tonnage potential. A large portion of the kimberlite has not been tested by drilling.

During April and May, Tahera will conduct an exploration program on the Rockinghorse property (Anuri kimberlite) located approximately 90 kilometers northwest of the Jericho mine site.

The Anuri kimberlite is 75 percent owned by Tahera and 25 percent by Kennecott Canada Exploration Inc, and the surrounding exploration property is wholly-owned by Tahera.