Crystallex Reports Earnings for Fourth Quarter and Fiscal Year 2000

Expanded Production Profile Drives 33% Revenue Increase for the Year



Apr 23, 2001, 01:00 ET from Crystallex International Corporation

    VANCOUVER, British Columbia, April 23 /PRNewswire Interactive News
 Release/ -- CRYSTALLEX INTERNATIONAL CORPORATION (Amex:   KRY; Toronto) (symbol
 KRY on the TSE and Amex) today announced that its operating revenue for the
 year ended December 31, 2000 increased 33 percent to C$47,732,737 from
 C$35,907,539 reported for 1999.  Net income for 2000 was C$3,304,556 or C$0.06
 per diluted share, compared with C$5,272,947 or C$0.08 per diluted share in
 1999. Cash flow from operating activities was C$11.0 million (C$0.21 per
 share) compared to C$2.7 million (C$0.07 per share) in 1999.  The Company's
 gold production in 2000 was 95,563 ounces compared to 76,889 ounces in 1999.
     The Company's operating costs were C$30.5 million (C$320 per ounce) in
 2000 compared with C$19.8 million (C$258 per ounce) in 1999.  The increase was
 due to the acquisition of the Tomi mine, modifications to the sag mill in
 Uruguay and greater depth of the pit at the San Gregorio mine.  The increased
 costs at San Gregorio were partially offset by the mining of lower cost
 material at the Company's Tomi mine.  For the year, the average grade
 processed at the San Gregorio mine was 2.2 grams per tonne, while that from
 the Tomi mine was 3.7 grams per tonne.  General expenses in 2000 were reduced
 to $7.4 million from $8.3 million in 1999, due to a number of cost saving
 measures the Company implemented during the year.
     Fourth quarter 2000, revenue increased to C$16,366,713, from C$8,735,561
 in the 1999 fourth quarter.  Net earnings were C$397,961 compared to C$357,615
 in 1999.  Cash flow in the fourth quarter from operating activities was
 C$2.3 million (C$0.04 per share) compared to C$0.9 million (C$0.02 per share
 in 1999).  Gold production in the 2000 fourth quarter rose to 30,235 ounces
 versus 18,689 ounces in the 1999 fourth quarter.
     Although the San Gregorio mine accounted for 75 percent of the Company's
 gold production in 2000, the production increase was due primarily to the
 mid-year acquisition of the Venezuelan assets of Bolivar Goldfields, which
 includes the Tomi mine and Revemin mill.  In addition to the Tomi mine
 acquisition, Crystallex acquired from Bema Gold Corp., a portion of its
 outstanding debt position in El Callao Mining Corp.  Subsequently, in February
 2001, Crystallex completed a take-over bid for the common shares of the El
 Callao Mining Corp. and acquired the balance of the aforementioned debt which
 is now payable to Crystallex.  This gives Crystallex control of the
 high-potential, 10,000 hectare Lo Increible project.
     The Company also made arrangements during the year, subject to the
 execution of definitive loan agreements, syndication by the lender, and
 technical and legal due diligence, for a two part non-recourse credit facility
 totalling US$60 million.  The arrangement includes a US$35 million term loan
 that will be used to refinance existing debt incurred in the acquisition of
 Minera San Gregorio in Uruguay and the assets of Bolivar Goldfields in
 Venezuela and also to fuel the growth plans the Company has for its recently
 acquired assets.  The term loan matures in 2008 and requires payment only of
 the interest until July 15, 2002 when the first amortization payment of
 US$1.5 million will be made.
 
     "We are pleased with Crystallex's performance in 2000," commented Marc J.
 Oppenheimer, the Company's President and Chief Executive Officer.  "We had
 excellent financial and operational growth.  We have built a good operational
 base, which is providing positive cash flow and we have a strong balance
 sheet.  We have made investments in equipment, facilities upgrades and
 acquisitions that have extended our operational runway many years into the
 future.  We have increased our gold production and revenue significantly and
 have produced eight consecutive profitable quarters during one of the toughest
 gold markets in recent years."
     Commenting on Las Cristinas, Mr. Oppenheimer said, "Although confirmation
 of our ownership rights to the Las Cristinas 4 & 6 concessions is entirely in
 the hands of the Venezuelan authorities, several events during 2000 give us
 reason to be optimistic."
     During the year, the Company had a number of meetings with officials of
 the Venezuelan Government, and on November 1, 2000, the Company presented its
 overall plan for development of mining in that country to the Energy and Mines
 Commission of the Venezuelan National Assembly.  The presentation, which
 included Crystallex's three phase plan for development of the Cristinas 4 & 6
 concessions, was well received.  Following the presentation, the National
 Assembly's Energy and Mines Commission issued a statement that, in their view,
 Crystallex's proposed US$ 400 million Las Cristinas project will give a great
 impulse to the regional and national economy, and that Crystallex is in
 position within the shortest possible time to become the largest producer of
 gold in Venezuela.
 
     Outlook
     The Company expects continued revenue growth in 2001.  Expenses will be
 higher in the first half, however, due to engineering work for our increasing
 activities in Venezuela, and charges related to staff reductions resulting
 from integration and consolidation of our recent acquisitions in Venezuela.
 Through the integration of these acquisitions, we believe Crystallex has
 insured long-term and economically sustainable production from Venezuela's El
 Callao region.  Looking ahead, we expect our gold production to reach
 approximately 125,000 ounces in 2001 and to increase to an annualized rate of
 over 200,000 ounces with costs expected in the order of US$200 per ounce in
 2002." Mr. Oppenheimer said.
 
     About Crystallex
     Crystallex International Corporation is a gold mining and exploration
 company.  The Company's strategy for growth is to develop its portfolio of
 properties in South America as well as to diversify geographically by
 investing in producing or near-production projects and by exploring properties
 of merit in other areas of the world.
 
     Financial results for the three months and full year periods are reported
 in the attached table.
 
 
      On Behalf of the Board:
 
      Marc J. Oppenheimer, President & CEO
 
     For Further Information:
     Contact:  A Richard Marshall, VP at  (201) 541-6650 or Andrea Boltz at
     (604) 683-0672
     To receive previous Company releases:  (800) 758-5804 ext. 114620
     Visit us on the Internet:  http://www.crystallex.com
 
     Note:
     This news release may contain certain "forward-looking statements" within
 the meaning of the United States Securities Exchange Act of 1934, as amended.
 All statements, other than statements of historical fact, included in this
 release, including, without limitation, statements regarding potential
 mineralization and reserves, exploration results, and future plans and
 objectives of Crystallex, are forward-looking statements that involve various
 risks and uncertainties.  There can be no assurance that such statements will
 prove to be accurate, and actual results and future events could differ
 materially from those anticipated in such statements.  Important factors that
 could cause actual results to differ materially from the Company's
 expectations are disclosed under the heading "Risk Factors" and elsewhere in
 documents filed from time to time with The Toronto Stock Exchange, the United
 States Securities and Exchange Commission and other regulatory authorities.
     The Toronto Stock Exchange has not reviewed this release and does not
 accept responsibility for the adequacy or accuracy of this news release.
 
 
     CRYSTALLEX INTERNATIONAL CORPORATION
     CONSOLIDATED BALANCE SHEETS
     (Expressed in Canadian dollars)  (Audited)
                                       December 31, 2000    December 31, 1999
     ASSETS
 
     Current
       Cash and cash equivalents            $  4,418,442         $  6,652,863
       Accounts receivable                     2,409,709            3,224,518
       Production inventories                 10,994,368           10,549,618
       Supplies inventory and
        prepaid expenses                       2,957,347            1,319,033
       Marketable securities                     227,901               38,186
       Due from related parties                   35,618               35,337
                                              21,043,385           21,819,555
 
     Security deposits                           255,131              190,468
     Long-term investment securities           2,643,338                   --
     Property, plant and equipment           135,444,453           90,864,162
     Deferred financing fees                     101,453                   --
     Deferred acquisition costs                4,598,639                   --
 
                                            $164,086,399         $112,874,185
 
     LIABILITIES AND SHAREHOLDERS' EQUITY
 
     Current
       Accounts payable and
        accrued liabilities                 $ 16,611,935         $  8,657,029
       Due to related parties                    292,184               71,095
       Current portion of long-term debt         487,338            6,564,800
       Loan payable                              700,000                   --
                                              18,091,457           15,292,924
 
     Reclamation provision                     1,485,301            1,081,329
     Long-term debt                           32,656,570           16,848,835
     Deferred Charges                            797,127              284,941
                                            $ 53,030,455         $ 33,508,029
     Minority Interest                           142,886                   --
 
     Shareholders' equity
       Capital stock
         Authorized
           Unlimited Common Shares, without
            par value
             20,000,000 Class "A" preference
               shares, par value $50
             20,000,000 Class "B" preference
               shares, par value $250
         Issued
           December 31, 1999 - 45,295,569
            common shares
           December 31, 2000 - 59,154,221
            common shares                    130,732,129          105,393,744
         Capital stock subscribed
           December 31, 1999 - Nil
            common shares
           December 31, 2000 - 1,025,000
            common shares                      1,955,644                   --
 
     Cumulative translation adjustment          (344,513)          (1,292,830)
 
     Deficit                                 (21,430,202)         (24,734,758)
                                             110,913,058           79,366,156
                                            $164,086,399         $112,874,185
 
 
     CRYSTALLEX INTERNATIONAL CORPORATION
     CONSOLIDATED STATEMENT OF OPERATIONS
     (Expressed in Canadian dollars)
     (Audited)
                      Year Ended     Year Ended     Three Month    Three Month
                      December 31,  December 31,    Period Ended  Period Ended
                         2000           1999        December 31,  December 31,
                                                          2000          1999
 
     OPERATING
      REVENUE         $47,732,737   $35,907,539      $16,366,713    $8,735,561
 
     OPERATING EXPENSES
       Operations      30,536,525    19,829,577       10,502,490     5,830,236
       Amortization
        and depletion   6,624,501     4,016,181        2,433,200     1,073,917
 
     Earnings from
      Operations       10,571,711    12,061,781        3,431,023     1,831,408
 
 
     GENERAL EXPENSES   7,432,436     8,264,206        2,086,431     2,018,196
 
     Income (loss) before
      other items       3,139,275     3,797,575        1,344,592      (186,788)
 
 
     OTHER ITEMS
       Interest and
        other Income      624,616     1,681,787       (1,139,073)      478,803
       Foreign exchange
        (loss)/gain      (562,191)     (320,246)         192,442       (48,231)
       Gain on debt
        settlement             --       113,831               --       113,831
       Gain on sale of
        marketable
        securities        102,856            --               --            --
                          165,281     1,475,372         (946,631)      544,403
 
 
     Income for
      the period      $ 3,304,556   $ 5,272,947      $   397,961   $   357,615
 
 
     Basic earnings
      per share       $      0.06   $      0.13      $      0.00   $      0.01
     Fully diluted
      earnings
      per share       $      0.06   $      0.08
 
         These financial statements should be read in conjunction with the
     notes to the consolidated financial statements.
 
                     MAKE YOUR OPINION COUNT -  Click Here
                http://tbutton.prnewswire.com/prn/11690X13551541
 
 

SOURCE Crystallex International Corporation
    VANCOUVER, British Columbia, April 23 /PRNewswire Interactive News
 Release/ -- CRYSTALLEX INTERNATIONAL CORPORATION (Amex:   KRY; Toronto) (symbol
 KRY on the TSE and Amex) today announced that its operating revenue for the
 year ended December 31, 2000 increased 33 percent to C$47,732,737 from
 C$35,907,539 reported for 1999.  Net income for 2000 was C$3,304,556 or C$0.06
 per diluted share, compared with C$5,272,947 or C$0.08 per diluted share in
 1999. Cash flow from operating activities was C$11.0 million (C$0.21 per
 share) compared to C$2.7 million (C$0.07 per share) in 1999.  The Company's
 gold production in 2000 was 95,563 ounces compared to 76,889 ounces in 1999.
     The Company's operating costs were C$30.5 million (C$320 per ounce) in
 2000 compared with C$19.8 million (C$258 per ounce) in 1999.  The increase was
 due to the acquisition of the Tomi mine, modifications to the sag mill in
 Uruguay and greater depth of the pit at the San Gregorio mine.  The increased
 costs at San Gregorio were partially offset by the mining of lower cost
 material at the Company's Tomi mine.  For the year, the average grade
 processed at the San Gregorio mine was 2.2 grams per tonne, while that from
 the Tomi mine was 3.7 grams per tonne.  General expenses in 2000 were reduced
 to $7.4 million from $8.3 million in 1999, due to a number of cost saving
 measures the Company implemented during the year.
     Fourth quarter 2000, revenue increased to C$16,366,713, from C$8,735,561
 in the 1999 fourth quarter.  Net earnings were C$397,961 compared to C$357,615
 in 1999.  Cash flow in the fourth quarter from operating activities was
 C$2.3 million (C$0.04 per share) compared to C$0.9 million (C$0.02 per share
 in 1999).  Gold production in the 2000 fourth quarter rose to 30,235 ounces
 versus 18,689 ounces in the 1999 fourth quarter.
     Although the San Gregorio mine accounted for 75 percent of the Company's
 gold production in 2000, the production increase was due primarily to the
 mid-year acquisition of the Venezuelan assets of Bolivar Goldfields, which
 includes the Tomi mine and Revemin mill.  In addition to the Tomi mine
 acquisition, Crystallex acquired from Bema Gold Corp., a portion of its
 outstanding debt position in El Callao Mining Corp.  Subsequently, in February
 2001, Crystallex completed a take-over bid for the common shares of the El
 Callao Mining Corp. and acquired the balance of the aforementioned debt which
 is now payable to Crystallex.  This gives Crystallex control of the
 high-potential, 10,000 hectare Lo Increible project.
     The Company also made arrangements during the year, subject to the
 execution of definitive loan agreements, syndication by the lender, and
 technical and legal due diligence, for a two part non-recourse credit facility
 totalling US$60 million.  The arrangement includes a US$35 million term loan
 that will be used to refinance existing debt incurred in the acquisition of
 Minera San Gregorio in Uruguay and the assets of Bolivar Goldfields in
 Venezuela and also to fuel the growth plans the Company has for its recently
 acquired assets.  The term loan matures in 2008 and requires payment only of
 the interest until July 15, 2002 when the first amortization payment of
 US$1.5 million will be made.
 
     "We are pleased with Crystallex's performance in 2000," commented Marc J.
 Oppenheimer, the Company's President and Chief Executive Officer.  "We had
 excellent financial and operational growth.  We have built a good operational
 base, which is providing positive cash flow and we have a strong balance
 sheet.  We have made investments in equipment, facilities upgrades and
 acquisitions that have extended our operational runway many years into the
 future.  We have increased our gold production and revenue significantly and
 have produced eight consecutive profitable quarters during one of the toughest
 gold markets in recent years."
     Commenting on Las Cristinas, Mr. Oppenheimer said, "Although confirmation
 of our ownership rights to the Las Cristinas 4 & 6 concessions is entirely in
 the hands of the Venezuelan authorities, several events during 2000 give us
 reason to be optimistic."
     During the year, the Company had a number of meetings with officials of
 the Venezuelan Government, and on November 1, 2000, the Company presented its
 overall plan for development of mining in that country to the Energy and Mines
 Commission of the Venezuelan National Assembly.  The presentation, which
 included Crystallex's three phase plan for development of the Cristinas 4 & 6
 concessions, was well received.  Following the presentation, the National
 Assembly's Energy and Mines Commission issued a statement that, in their view,
 Crystallex's proposed US$ 400 million Las Cristinas project will give a great
 impulse to the regional and national economy, and that Crystallex is in
 position within the shortest possible time to become the largest producer of
 gold in Venezuela.
 
     Outlook
     The Company expects continued revenue growth in 2001.  Expenses will be
 higher in the first half, however, due to engineering work for our increasing
 activities in Venezuela, and charges related to staff reductions resulting
 from integration and consolidation of our recent acquisitions in Venezuela.
 Through the integration of these acquisitions, we believe Crystallex has
 insured long-term and economically sustainable production from Venezuela's El
 Callao region.  Looking ahead, we expect our gold production to reach
 approximately 125,000 ounces in 2001 and to increase to an annualized rate of
 over 200,000 ounces with costs expected in the order of US$200 per ounce in
 2002." Mr. Oppenheimer said.
 
     About Crystallex
     Crystallex International Corporation is a gold mining and exploration
 company.  The Company's strategy for growth is to develop its portfolio of
 properties in South America as well as to diversify geographically by
 investing in producing or near-production projects and by exploring properties
 of merit in other areas of the world.
 
     Financial results for the three months and full year periods are reported
 in the attached table.
 
 
      On Behalf of the Board:
 
      Marc J. Oppenheimer, President & CEO
 
     For Further Information:
     Contact:  A Richard Marshall, VP at  (201) 541-6650 or Andrea Boltz at
     (604) 683-0672
     To receive previous Company releases:  (800) 758-5804 ext. 114620
     Visit us on the Internet:  http://www.crystallex.com
 
     Note:
     This news release may contain certain "forward-looking statements" within
 the meaning of the United States Securities Exchange Act of 1934, as amended.
 All statements, other than statements of historical fact, included in this
 release, including, without limitation, statements regarding potential
 mineralization and reserves, exploration results, and future plans and
 objectives of Crystallex, are forward-looking statements that involve various
 risks and uncertainties.  There can be no assurance that such statements will
 prove to be accurate, and actual results and future events could differ
 materially from those anticipated in such statements.  Important factors that
 could cause actual results to differ materially from the Company's
 expectations are disclosed under the heading "Risk Factors" and elsewhere in
 documents filed from time to time with The Toronto Stock Exchange, the United
 States Securities and Exchange Commission and other regulatory authorities.
     The Toronto Stock Exchange has not reviewed this release and does not
 accept responsibility for the adequacy or accuracy of this news release.
 
 
     CRYSTALLEX INTERNATIONAL CORPORATION
     CONSOLIDATED BALANCE SHEETS
     (Expressed in Canadian dollars)  (Audited)
                                       December 31, 2000    December 31, 1999
     ASSETS
 
     Current
       Cash and cash equivalents            $  4,418,442         $  6,652,863
       Accounts receivable                     2,409,709            3,224,518
       Production inventories                 10,994,368           10,549,618
       Supplies inventory and
        prepaid expenses                       2,957,347            1,319,033
       Marketable securities                     227,901               38,186
       Due from related parties                   35,618               35,337
                                              21,043,385           21,819,555
 
     Security deposits                           255,131              190,468
     Long-term investment securities           2,643,338                   --
     Property, plant and equipment           135,444,453           90,864,162
     Deferred financing fees                     101,453                   --
     Deferred acquisition costs                4,598,639                   --
 
                                            $164,086,399         $112,874,185
 
     LIABILITIES AND SHAREHOLDERS' EQUITY
 
     Current
       Accounts payable and
        accrued liabilities                 $ 16,611,935         $  8,657,029
       Due to related parties                    292,184               71,095
       Current portion of long-term debt         487,338            6,564,800
       Loan payable                              700,000                   --
                                              18,091,457           15,292,924
 
     Reclamation provision                     1,485,301            1,081,329
     Long-term debt                           32,656,570           16,848,835
     Deferred Charges                            797,127              284,941
                                            $ 53,030,455         $ 33,508,029
     Minority Interest                           142,886                   --
 
     Shareholders' equity
       Capital stock
         Authorized
           Unlimited Common Shares, without
            par value
             20,000,000 Class "A" preference
               shares, par value $50
             20,000,000 Class "B" preference
               shares, par value $250
         Issued
           December 31, 1999 - 45,295,569
            common shares
           December 31, 2000 - 59,154,221
            common shares                    130,732,129          105,393,744
         Capital stock subscribed
           December 31, 1999 - Nil
            common shares
           December 31, 2000 - 1,025,000
            common shares                      1,955,644                   --
 
     Cumulative translation adjustment          (344,513)          (1,292,830)
 
     Deficit                                 (21,430,202)         (24,734,758)
                                             110,913,058           79,366,156
                                            $164,086,399         $112,874,185
 
 
     CRYSTALLEX INTERNATIONAL CORPORATION
     CONSOLIDATED STATEMENT OF OPERATIONS
     (Expressed in Canadian dollars)
     (Audited)
                      Year Ended     Year Ended     Three Month    Three Month
                      December 31,  December 31,    Period Ended  Period Ended
                         2000           1999        December 31,  December 31,
                                                          2000          1999
 
     OPERATING
      REVENUE         $47,732,737   $35,907,539      $16,366,713    $8,735,561
 
     OPERATING EXPENSES
       Operations      30,536,525    19,829,577       10,502,490     5,830,236
       Amortization
        and depletion   6,624,501     4,016,181        2,433,200     1,073,917
 
     Earnings from
      Operations       10,571,711    12,061,781        3,431,023     1,831,408
 
 
     GENERAL EXPENSES   7,432,436     8,264,206        2,086,431     2,018,196
 
     Income (loss) before
      other items       3,139,275     3,797,575        1,344,592      (186,788)
 
 
     OTHER ITEMS
       Interest and
        other Income      624,616     1,681,787       (1,139,073)      478,803
       Foreign exchange
        (loss)/gain      (562,191)     (320,246)         192,442       (48,231)
       Gain on debt
        settlement             --       113,831               --       113,831
       Gain on sale of
        marketable
        securities        102,856            --               --            --
                          165,281     1,475,372         (946,631)      544,403
 
 
     Income for
      the period      $ 3,304,556   $ 5,272,947      $   397,961   $   357,615
 
 
     Basic earnings
      per share       $      0.06   $      0.13      $      0.00   $      0.01
     Fully diluted
      earnings
      per share       $      0.06   $      0.08
 
         These financial statements should be read in conjunction with the
     notes to the consolidated financial statements.
 
                     MAKE YOUR OPINION COUNT -  Click Here
                http://tbutton.prnewswire.com/prn/11690X13551541
 
 SOURCE  Crystallex International Corporation

RELATED LINKS

http://www.crystallex.com