Canadian miner Crystallex International (TSX: KRY) might form a JV with the
Venezuelan government to develop the Las Cristinas gold mine, a sector executive
told BNamericas.

"This is something that is now possible thanks to the government's new policies
on forming joint ventures, but it really depends on which company," the
executive said.

The director of finance at the basic industries and mining ministry (Mibam),
Luis Herrera, has said that any JV must be through a 49:51 agreement whereby the
state is the majority shareholder.

Herrera has also said that anyone interested in mining in Venezuela should be
ready to start working immediately and have ample funds.

CRYSTALLEX KEEPS WAITING

Despite the comments about Crystallex considering a JV with the state, it is
continuing with plans to mine Las Cristinas by itself and is awaiting
environmental permission.

Since Crystallex received operating permission for Las Cristinas in 2002 it has
completed all of the required documentation but is still waiting to receive the
environmental license needed to begin construction.

Meanwhile, Mibam has said it would give the project to Russian company Rusoro
Mining (TSX-V: RML) but to date the government has not officially informed
Crystallex of this decision.

"There is no document or regulation that backs this decision," the executive
said, adding that Crystallex continues to be Las Cristinas' operator as defined
in an agreement signed with the mining concession's owner, state heavy industry
holding industry CVG.

In a statement published on November 28 Crystallex said that it hopes to
cordially settle the dispute within six months, otherwise it would take the
issue to international courts.

Las Cristinas has 464Mt grading 1.13g/t gold in proven and probable reserves, in
addition to 629Mt grading 1.03g/t gold in measured and indicated resources.

http://www.bnamericas.com/news/mining/Govt,_Crystallex_could_form_JV_to_mine_Las_Cristinas