Tahera Finds it Difficult to Take Off

Canadian upstart Tahera has mined approximately 69,000 carats during its ongoing operational review in the second quarter. The Canadian Government Diamond Valuation (GDV) valued the goods at $6.4 million, an average of $92.70 per carat.

Tahera reported revenues of C$15.3 million (US$14.52 million), however it did not report how many carats of diamonds were sold.

The company suffered from an operating loss of C$30.64 million ($29.08 million) during the period, recording a net loss for the first six months of 2007 of C$31.676 million ($30.06 million) compared to an income of C$2.55 million ($2.42 million) for the comparable period of 2006.

A cash and cash equivalents balance of C$12.8 million ($12.14 million), a decrease of C$14.74 million ($13.99 million) from the balance at December 31, 2006. Tahera said the decrease is due to negative cash flows from operations and the significant expenditures made in early 2007 to mobilize fuel, explosives and other supplies on the winter ice road.