Cash may not be sufficient to fund next 12 months' obligations - Crystallex

The gold miner posted an increased Q1 loss and said further measures would be needed if it was to meet its obligations over the next 12 months

Posted: Friday , 14 May 2010

(Reuters) -

Gold miner Crystallex International Corp's (KRY.TO: Quote) said it would not have enough cash to fund its obligations through 12 months "without further measure," and posted a wider first-quarter loss.

The company, which had $4.3 million in cash and cash equivalents as on March 31, said it has sufficient cash to fund operations through the second quarter.

The company, whose principal asset is its interest in the Las Cristinas gold project in Bolivar State, Venezuela, posted loss from operations of $9.4 million, or 3 cents a share, compared to $5.2 million, or 2 cents a share, last year.

The company also recorded a $3.6 million non-cash write down charge in the first quarter.

Shares of the company closed at 50 Canadian cents Thursday on the Toronto Stock Exchange. (Reporting by Aftab Ahmed in Bangalore; Editing by Roshni Menon) (aftab.ahmed@thomsonreuters.com; within U.S. +1 646 223 8780; outside U.S. +91 80 4135 5800; Reuters Messaging: aftab.ahmed.reuters.com@reuters.net))