Diamond Mining – Page 25 – The Diamond Certification Laboratory of Australia (DCLA)

Botswana Diamonds picks up high potential kimberlite pipe in South Africa

Botswana Diamonds has been awarded the priority 2.5 ha Mooikloof kimberlite pipe concession. Using recently developed exploration techniques it will re-assess this high potential pipe.

The award of the Mooikloof Prospecting Licence is an important development for Botswana Diamonds.

Mooikloof was last prospected in 1986. The adjacent Oaks mine was owned and successfully operated by De Beers. The Oaks mine had a grade of 53 cpht at a value of $156 per carat.

The large flagship Venetia mine, operated by De Beers, is close by and in the same general geology.

Based on Botswana Diamond’s experience elsewhere, it suspects that past explorers may have systematically under estimated the kimberlite pipe size, grade and diamond quality of the Mooikloof kimberlite.

It will deploy state of the art exploration techniques to reassess the Mooikloof kimberlite, and maybe open another by passed kimberlite pipe development.

Botswana Diamonds has now received the Technical Economic Evaluation Report on the Thorny River Project.

The deposit is between 1.2 and 2 Mt, the grade is between 46 and 74 cpht and carat values between US$120 and $220 per carat.

The Technical Economic Evaluation Report indicated positive economics could potentially be achieved using the top end of the grade and value ranges, assuming additional kimberlite volume of similar grade and value can be defined with further exploration.

While not a Scoping Study as Botswana Diamonds had previously envisaged in the announcements dated 15 February 2018 and 21 March 2018, the Technical Economic Evaluation Report has provided the company’s directors with sufficient information to conclude that the Thorny River Project requires further investigation.

Consequently, the directors are considering the company’s various technical and commercial options, which will be studied simultaneously with ongoing exploration.

Drilling at Ontevreden confirmed the existence of a kimberlite pipe, but showed the pipe to be smaller than the previously indicated geophysical anomaly.

Given Botswana Diamond’s attractive priorities elsewhere, it now proposes no further work on Ontevreden.

“Significant progress has been made on our joint venture projects in South Africa,” comments Botswana Diamonds chairman, John Teeling.

“Analysis shows that a mine on the Thorny River deposit could be profitable assuming positive results from additional exploration. Now we must refine the volume, grade and value estimates while working on the mining model.

“But modern mineral exploration technology is not a magic bullet. Modern geophysics indicated a 0.7 ha pipe at Ontevreden. Our drilling confirmed a smaller pipe, which is not currently commercial”.

Source: miningreview

Petra Diamonds record output

Shares in Petra Diamonds climbed almost 8% on Monday after the miner reported a significant revenue increase in its third quarter driven by record production in the first three months of 2018.

The South African diamond producer, owner of the iconic Cullinan mine, which produced the diamonds for the British crown jewels, said revenue for the quarter ended March 31 climbed 44% to $172 million, from $119 million a year earlier.

Petra Diamonds saw third-quarter revenue grow by 44% after it produced and sold more gems.

The company, known for some major recent findings, attributed part of the revenue growth to the fact it sold 1,373,771 carats of diamonds compared to 1,069,886 sold in the same period a year earlier.

While production jumped 20% to a record quarterly volume of 1,194,947 carats, Petra said illegal mining at its Kimberley Ekapa Mining JV dented output during the quarter by restricted access to high grade dumps at the surface re-treatment operation.

It also said its full year 2018 revenue continued to be impacted by the inability to sell a blocked diamond parcel from it Williamson mine of about 71,000 carats. The shipment was seized by the Tanzanian government in September last year, as part of the country’s ongoing probe into alleged wrongdoing in the diamond and tanzanite sectors.

Chief executive Johan Dippenaar said the company’s focus would move away from volume targets to value optimization.

‘While we are very encouraged by the operational delivery against our long-term expansion plans, risks to performance continue to relate to increased volatility in the ZAR/US$ exchange rate, grade and pricing variability at Cullinan,” Dippenaar said in the statement, adding that the outlook for its Williamson mine as well as the blocked diamond parcel were also weighing on the company’s future.

Israel Gives $284M Boost to Diamond Trade

The Israeli government has pledged $284 million (NIS 1 billion) to guarantee bank loans to diamond companies in an effort to ease the trade’s severe credit difficulties.

A lack of credit is stifling growth, especially among the smaller firms that constitute about 70% of the Israeli trade, according to a special committee set up to investigate the sector’s challenges.

The team — led by Naama Kaufman-Pass, deputy director-general of the nation’s Ministry of Economy and Industry — released its findings earlier this month, highlighting several ways in which the industry had hit a crisis.

Banks’ perception of the diamond sector as high-risk has led to a decline in total lending to the Israeli trade from $2.5 billion in 2008 to about $1 billion last year, the committee said in its report. Financial institutions are also refusing to accept dealers’ inventory as collateral, while competition from India and Belgium has added further damage to Israel’s market position.

To this end, the government fund will back companies’ borrowing, meaning that if they fail to repay a loan to a bank, the state will pay. While the committee submitted the policy to Eli Cohen, minister of industry and economy, as a recommendation, the lawmaker said the government was set to go ahead with the program.

“We have decided to allocate another billion shekels over the next five years to the diamond sector through credit guarantees,” Cohen told an audience at the International Diamond Week in Israel last week.

In addition, the committee suggested the government provide money for the bourse’s newly launched innovation laboratory, put cash into bringing more diamond buyers to Israel, support efforts to develop e-commerce opportunities, and contribute to other projects to boost the industry.

“The committee identified the main hurdles in small businesses’ activities in the sector, and its recommendations offer a comprehensive response to its needs,” Kaufman-Pass said.

The diamond trade is an important segment of the Israeli economy, representing about 13% of total exports, and employing about 9,500 people, according to the report. However, the 2008 global financial crash led to a 27% slump in Israel’s polished-diamond exports between that year and 2016, with the Chinese market slump in 2015 also denting demand.

“Implementing the committee’s conclusions, alongside other steps, is essential, considering the crisis the sector has been through,” Cohen added in a statement. “Their purpose is to provide new tools to help deal with challenges in the trade and to ease regulation, thereby growing both production and exports.”

Shay Rinsky, director-general of the Ministry of Economy and Industry, set up the committee in September to delve into issues of credit and growth in the diamond trade and examine how to bring the industry forward.

Source: diamonds.net

Lucapa recovers more diamonds at Lesotho mine

Australia’s Lucapa Diamond has announced workers at its 70% owned Mothae mine in Lesotho have recovered diamonds sourced from residual material and kimberlite stockpiles.

The company said the rough diamonds were recovered through the existing bulk sampling plant and infrastructure at Mothae, which has been refurbished ahead of schedule as part of a previously announced bulk sampling program.

According to the statement the largest rough diamond recovered in the test run is 6.6 carats.

World’s largest rarest and most valuable D Flawless round diamond

102.34 carat D colour Flawless round diamond

To celebrate its one year anniversary, this morning Sotheby’s Diamonds revealed its most exceptional gem to date: a 102.34 carat, D Flawless, Type IIA round brilliant diamond, which the auction house describes as “the rarest and most valuable white diamond ever to come to market”.

The diamond was cut from a 425-carat rough mined by the De Beers group in Botswana. The cutting process took over six months and required the diamond to be transported between Johannesburg and New York.

De Beers Will Start Auctioning Other Mines Goods

De Beers will begin auctioning rough diamonds from other mining companies to provide a broader range of goods.

The company will pilot the new program this year, making it easier for customers to buy their entire supply in one place, Neil Ventura, De Beers executive vice president of auction sales, said on Monday.

“One message that’s come through from our recent customer engagements is a desire for us to develop our supply offering in certain areas, so that there is a fuller and broader range of material available for purchase,” Ventura said.

“Based on this customer feedback, in 2018 we will be testing the potential to grow our core rough-diamond sales business through making some purchases from third-party sources,” he added.

The diamonds will come from miners which De Beers has carried out due diligence, and will only be a small minority of the goods De Beers offers.

Historic 910 carat, The Fifth Largest Diamond Recovered

Gem Diamonds has recovered a 910 carat rough diamond at its Letšeng mine in Lesotho, the fifth largest rough ever found.

The D colour type IIa diamond is the largest to be unearthed at Letšeng, outranking the 603 carat Lesotho Promise recovered in 2006.

That stone was sold for $12.4 million, to Graff Diamonds, which owns a 15% stake in Gem Diamonds.

Last year, Graff bought the 1,109 carat Lesedi la Rona, the second largest rough diamond in history, for $53 million, or $47,790 per carat.

The discovery follows a recent revival of exceptionally large stones recovered at Letšeng, which is known for its high value production.

Two 100 carat plus rough diamonds recovered at Lesotho mine

Gem Diamonds Lesotho mine in southern Africa

The two Rough diamonds each weighing more than 100 carats were recovered by Gem Diamonds at the Lesotho mine in southern Africa.

Both rough Diamonds weight 117 carats and 110 carats are D color Type IIa diamonds.

Type IIa diamonds carbon bonds contain little or no nitrogen atoms making them very white and rare. These are the most expensive white diamonds.

Letšeng Finds Seventh Big Diamond of the Year

Gem Diamonds Letseng 202 carat rough diamond

Diamond Miner Gem Diamonds has found a 202 carat rough diamond at its Letšeng mine in Lesotho, Sothern Africa. The rough diamond is the latest of seven recovered over 100 carats this year.

The D colour type IIa diamond was recovered when they mine switched to the higher grade K6 section of the main pipe earlier this year.

The Letšeng mine is one of the highest diamond deposits by value in the world with the an average price of $2,397 per carat for the July tender.

Debmarine Splashes $142M on Diamond Ship

De Beers is planning to add the world’s largest custom built diamond mining vessel to its fleet at a cost of $142 million.

The ship will be the sixth belonging to Debmarine Namibia, a 50/50 joint venture between the miner and the Republic of Namibia, De Beers said Tuesday. Expected to begin operations in 2021, it will enhance the company’s ability to recover diamonds off the southern African country’s Atlantic coast, the rough producer added.

“There is a great amount of potential in Namibia’s marine diamond deposits, and this new vessel will support our strategy to continue to grow our offshore operations,” said De Beers CEO Bruce Cleaver.

Earlier this year, De Beers launched the MV SS Nujoma, the world’s largest diamond sampling and exploration vessel. Acquiring the new ship will help the company capitalize on that vessel’s work, and support the long-term future of Namibia’s diamond sector, Cleaver added.

Kleven Verft, a Norwegian ship-building company that constructed the Nujoma, will also build the new vessel, and has signed a memorandum of understanding with De Beers.

Source: Diamonds.net