Crystallex Reports Its Second Consecutive Quarter of

Profits, With Increased Production and Productivity Vancouver, British Columbia (PROTEXT) - CRYSTALLEXINTERNATIONAL CORPORATION (Amex: KRY; Toronto) today announcedits second consecutive quarter of profitability and growth. Increased production, improved efficiencies and a successfulhedge program combined to generate record levels of revenue andnet income in the second quarter, which ended June 30, 1999.Sequentially, revenue increased 10% and net income increased 39%over the profitable first quarter of 1999. Net income for the second quarter ended June 30, 1999 wasC$2,055,315 or C$0.06 per share (basic) on operating revenue ofC$9,864,001. This compares with the 1998 second quarter loss ofC$1,805,538 or C$0.05 per share (basic) on operating revenue ofC$888,167. Total assets increased to nearly C$108 millioncompared with C$73 million in the second quarter of 1998, andshareholder's equity rose to more than C$71 million, versus C$70million in the comparable year-earlier period. For the first six months ended June 30, 1999 operating revenueof C$18,848,984, generated a net income of C$3,536,272 or C$0.10per share (basic). This represents a significant increase overthe first six months of 1998 when the Company reported a loss ofC$4,199,904 or C$0.12 per share on revenue of C$1,553,643.Operating cash flow for the quarter ending June 30, 1999 wasC$4,902,368 or C$0.13 per share, and for the six months of 1999,operating cash flow was C$9,092,948 or C$0.24 per share. During the second quarter, gold production at the San Gregoriomine was 20,588 ounces, a 9% increase over the 18,905 ouncesproduced in the second quarter of 1998. The Company shipped21,288 ounces in the second quarter 1999. Mining of ore and wasteat the San Gregorio mine increased 21% from 16,790 tonnes per dayin the second quarter of 1998 to 20,331 tonnes per day in thesecond quarter of 1999. These results were achieved with the mineoperating 6 days a week compared to 7 days a week in the secondquarter of 1998. Several training programs, improved humanresource management and better blasting practices contributed tothis increase in productivity. In the second quarter 1999 the Company achieved an averagerealized price per ounce of gold sold of approximately US$300,compared to the average spot market price for the quarter ofapproximately US$274 per ounce. The Company's hedging programcontinued to enhance the average price during the quarter. AtJune 30 1999, Crystallex's hedge program consisted of forwardsales contracts of approximately 40% of San Gregorio future goldproduction with a price floor of US$310 per ounce. Commenting on the Company's profitable second quarter andfirst six months, Crystallex President and Chief ExecutiveOfficer, Marc J. Oppenheimer pointed to increased productivity atthe San Gregorio Mine, which has lowered the total cash cost perounce of gold from $268 in the second quarter of 1998 to $196 inthe 1999 second quarter. "Our ability to reduce the costs of goldproduction by 27% combined with our gold hedging program hasenabled Crystallex to maintain a relatively high level ofprofitability and a positive operating cash flow throughout thefirst half of the year despite the continued weakness in the goldmarket." "We're pleased that the increasing production and shipment ofgold from the San Gregorio mine has enabled it to be recognizedas the major exporter of metals from Uruguay for the second yearin a row," Oppenheimer said. "We feel confident that theCrystallex team can bring the same level of productionefficiencies and productivity gains to other mining projects thatwe decide to pursue." Recently the Company announced that it had launched legalproceedings in Venezuela to enforce its ownership rights inrelation to the Cristinas 4 and 6 concessions, believed to be thelargest gold find ever in that country. "Although such litigationinvolves risks and uncertainties," Oppenheimer said, "if theoutcome is favorable, there is little doubt that the value of theCristinas concessions to our shareholders would be significant." Crystallex International Corporation is a gold mining andexploration company. The Company's strategy for growth is todevelop its portfolio of properties in South America as well asto diversify geographically by investing in producing or near-production projects and by exploring properties of merit in otherareas of the world. Financial results for the three and six months periods arereported in the attached table. On Behalf of the Board: Marc J. Oppenheimer, President & CEO For Further Information: Contact: A. Richard Marshall, VP at (USA) 201-541-6650, ext.26

or Andrea Boltz at (USA) 604-683-0672, ext. 1 To receive previous Company releases: (USA) (800) 758-5804ext. 114620 Visit us on the Internet: http://www.crystallex.com Company Email:

info@crystallex.com Note: This news release may contain certain "forward-lookingstatements" within the meaning of the United States SecuritiesExchange Act of 1934, as amended. All statements, other thanstatements of historical fact, included in this release,including, without limitation, statements regarding potentialmineralization and reserves, exploration results, and futureplans and objectives of Crystallex, are forward-lookingstatements that involve various risks and uncertainties. Therecan be no assurance that such statements will prove to beaccurate, and actual results and future events could differmaterially from those anticipated in such statements. Importantfactors that could cause actual results to differ materially fromthe Company's expectations are disclosed under the heading "RiskFactors" and elsewhere in documents filed from time to time withThe Toronto Stock Exchange, the United States Securities andExchange Commission and other regulatory authorities. The Toronto Stock Exchange has not reviewed this release anddoes not accept responsibility for the adequacy or accuracy ofthis news release.

CRYSTALLEX INTERNATIONAL CORPORATION

CONSOLIDATED BALANCE SHEETS

(Expressed in Canadian dollars)

(Unaudited - Prepared by Management)

June 30,

June 30, December 31,

1999

1998

1998 ASSETS Current

Cash and cash

equivalents

$ 5,680,555 $ 19,993,829

5,535,716

Accounts receivable 3,357,773

1,419,906

2,032,739

Production

inventories

8,459,045

--

6,721,802

Supplies inventory

and prepaid

expenses

1,470,635

137,344

1,069,341

Marketable securities

38,186

105,516

38,186

Due from

related parties

35,520

--

39,960

19,041,714

21,656,595 15,437,744

Security deposits

177,661

109,043

188,367

Property, plant and

equipment

88,477,710

51,563,405 90,098,063

Deferred financing fee 301,393

--

--

$107,998,478 $ 73,329,043 105,724,174 LIABILITIES AND SHAREHOLDERS' EQUITY Current

Accounts payable

and accrued

liabilities

$ 7,996,131 $ 3,009,174

10,477,514

Due to related

parties

73,814

--

382,772

Current portion

of long-term debt

2,560,625

--

2,913,270

10,630,570

3,009,174

13,773,556

Reclamation provision 876,462

--

713,699

Long-term debt

22,880,747

--

23,348,884

Deferred Charges

2,556,505

--

110,606

36,944,284

3,009,174

37,946,745 Shareholders' equity

Capital stock

Authorized

Unlimited Common Shares, without par value

20,000,000 Class "A" preference shares, par value $50

20,000,000 Class "B" preference shares, par value $250

Issued

December 31, 1998 - 36,541,481 common shares

June 30, 1998 - 36,358,966 common shares

June 30, 1999 -

37,014,905

common shares 98,436,106 97,464,796

97,927,696 Cumulative translation adjustment

(910,479)

(152,922)

(142,562) Deficit

(26,471,433) (26,992,005) (30,007,705)

71,054,194 70,319,869

67,777,429

$107,998,478 $ 73,329,043 105,724,174

CRYSTALLEX INTERNATIONAL CORPORATION

CONSOLIDATED STATEMENT OF OPERATIONS

(Expressed in Canadian dollars)

(Unaudited - Prepared by Management)

Six Month Six Month

Three Month ThreeMonth

Period Ended Period Ended Period Ended PeriodEnded

June 30, June 30,

June 30,

June 30,

1999

1998

1999

1998 OPERATING REVENUE

$18,848,984 $ 1,553,643 $ 9,864,001 $888,167 OPERATING EXPENSES

Operations 9,756,036

2,978,067

4,961,6331,624,130

Amortization

and

depletion 1,943,826

528,335

978,036281,050 Earnings (loss) from Operations

7,149,122 (1,952,759) 3,924,332(1,017,013) GENERAL EXPENSES

4,346,835

3,127,449

2,212,2061,619,014 Income (loss) before other items

2,802,287 (5,080,208) 1,712,126(2,636,027) OTHER ITEMS

Interest and

other Income 898,493

453,218

463,783251,178

Foreign exchange

(loss)/gain (164,508)

406,043

(120,594)578,585

Gain on sale

of marketable

securities

--

21,043

--726

733,985

880,304

343,189830,489 Income (loss) for the period $ 3,536,272 $(4,199,904) $ 2,055,315 $(1,805,538) Basic earnings (loss) per share

$

0.10 $

(0.12) $

0.06 $(0.05) ots Original Text Service: Crystallex InternationalCorporation Internet: http://www.newsaktuell.de Contact: A.Richard Marshall, VP, (USA) 201-541-6650, ext. 26, or AndreaBoltz, (USA) 604-683-0672, ext. 1, or info@crystallex.com, bothof Crystallex International Corporation Company News On-Call:http://www.prnewswire.com/comp/114620.html or Fax: (USA) 800-758-5804, ext. 114620 Web site: http://www.crystallex.com

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