KRY Crystallex International Corp. Common Stock

Crystallex Proposes to Acquire Minority Shares of El Callao TORONTO, June 25 /PRNewswire-FirstCall/ -- Crystallex International Corporation (AMEX:KRY) Toronto announced today that it has entered into an agreement with El Callao Mining Corp. ("El Callao") (TSXV: ECM) with respect to a proposed plan of arrangement. If the plan of arrangement is approved by the shareholders of El Callao and implemented: - shareholders of El Callao (other than Crystallex) will receive 0.01818 of a Crystallex common share for each of their El Callao common shares; and - El Callao will become a wholly-owned subsidiary of Crystallex. Crystallex currently owns 36,575,832 El Callao common shares representing approximately 79% of the outstanding shares of El Callao. The proposed transaction will eliminate the ongoing public company expenses associated with the financial and continuous reporting obligations currently applicable to El Callao and will allow the minority shareholders of El Callao to participate in the combined business of Crystallex and El Callao. If the proposed transaction is implemented, Crystallex would issue approximately 172,975 additional common shares. To become effective, the proposed transaction must be approved by, among other things, a majority of the votes cast by minority shareholders of El Callao (i.e., shareholders other than Crystallex and its related parties) at a special meeting of shareholders to be held on July 27, 2004 and by the British Columbia Supreme Court. Crystallex also announced today that it has received approval from the Toronto Stock Exchange to extend the expiry date of certain warrants from June 20, 2004 to September 18, 2004. The warrants were issued to arm's length investors in connection with private placement financings completed in June 2002 and are exercisable for an aggregate of 824,214 common shares of Crystallex. The proposed amendments have been approved by the holders thereof and the amendments will become effective on the 6th day of July, 2004. The other terms as to exercise of the warrants remain the same. NOTE: This may include 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 presentation, 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, including but not limited to its annual information form ("AIF") and its annual report on Form 20-F, filed from time to time with the Canadian provincial securities regulators, the United States Securities and Exchange Commission ("SEC"), and other regulatory authorities. The Toronto Stock Exchange has not reviewed this news release and does not accept responsibility for the adequacy or accuracy of this release. The securities that Crystallex is offering in connection with the proposed arrangement transaction have not been and will not be registered under the United States Securities Act of 1933, as amended, and may not be offered or sold in the United States without registration unless an exemption from registration is available. DATASOURCE: Crystallex International Corporation CONTACT: Richard Marshall of Crystallex, +1-800-738-1577 Web site: http://www.crystallex.com/

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