Photo by: Bloomberg
TORONTO (miningweekly.com) – Southern Africa-focused miner Lucara Diamond Corp this week reported that exceptional stone tenders had this year accounted for $136-million, reflecting a strong diamond market and robust demand for large precious gems from the company’s flagship Karowe mine, in Botswana.
The TSX- and Botswana-listed company this week held its third exceptional stone tender where it sold 14 diamonds for gross revenues of $46.4-million, or $30 129/ct.
Twelve of these stones sold for more than $1-million each, including six stones that sold for more than $4-million each. The highest-value stones sold during the tender included a 203 ct, a 239 ct and a 141 ct diamond, selling for $8.2-million, $7.2-million and $6.1-million, respectively.
This tender concluded Lucara's exceptional stones tenders for the year, in which 50 diamonds were sold for $135.6-million, at an average diamond value of $32 468/ct.
Of the 50 diamonds sold, 40 sold for more than $1-million, including eight stones that sold for more than $5-million each.
“The results of this exceptional stone tender reaffirm the demand for these remarkable diamonds that continue to be recovered at Karowe. Our sales results reflect the continued robustness of the diamond sector and the continued strong demand for our exceptional diamonds,” president and CEO William Lamb said.
PLANT OPTIMISATION
The Karowe mine is located in north-central Botswana and is part of the Orapa/Letlhakane kimberlite district – one of the world’s most prolific diamond-producing areas.
The company is currently in the process of a $55-million plant upgrade.
The Karowe plant optimisation would improve large diamond recovery, following the discovery of exceptional stones, and enable sustainable processing of hard ore in the south lobe.
The mine plan was based on probable reserves of 33.1-million tonnes, containing 5.1-million carats to a depth of 324 m.
The remaining indicated resource was estimated at 48.07-million tonnes, containing 7.61-million carats from surface to a depth of 400 m. Inferred mineral resources were estimated at 21-million tonnes, containing 3.04-million carats from 400 m to 750 m in depth.
The process plant had been designed with a throughput rate of 2.5-million tonnes a year. Diamond recovery was estimated at 400 000 ct/y.
The project has a mine life of 13 years.
Lucara expected the plant optimisation project to be complete in the second quarter of 2015.