Expanded production profile drives 33% revenue increase for the year

VANCOUVER, BC - CRYSTALLEX INTERNATIONAL CORPORATION (KRY on 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

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 and does not accept responsibility for the adequacy or accuracy of this news release. Contact: A Richard Marshall, VP at (201) 541-6650 ext. 26 or Andrea Boltz at (604) 683-0672.
To receive previous Company releases: (800) 758-5804 ext.114620

CONSOLIDATED BALANCE SHEETS
(Expressed in Canadian dollars) (Audited) 

 
CONSOLIDATED STATEMENT OF OPERATIONS
(Expressed in Canadian dollars) (Audited) 

 
These financial statements should be read in conjunction with the notes to the consolidated financial statements.