Correction (April 03, 2000)

A report in our Feb. 28-March 5 issue implied that Trans Hex International (THI-T) will fund its 2001-fiscal-year exploration programs at the Barra Grande and Northbank diamond properties in Brazil and Namibia, respectively, through the sale of 750,000 shares to its majority shareholder, South African-listed Trans Hex Group, at $4 apiece.

Funding will actually come from a loan the junior has arranged with its parent company, with repayment to be made out of future net cash flow from the properties should they be advanced to production, or from proceeds arising from their sale should that occur instead.

Regarding the shares, they are being issued in lieu of the $3-million loan cited in the article, which represents the amount already owed by Trans Hex International to the related party metioned, itself a wholly owned subsidiary of Trans Hex Group. This will effectively raise to 73% Trans Hex Group’s interest in Trans Hex International, while erasing the latter company’s long-term debt.

Furthermore, the actual amount to be spent on each project was not specified in the company’s quarterly report because the budgets for each are still being determined.