Sign up UNITED KINGDOM
Proactive Investors - Run By Investors For Investors

Stellar Diamonds finds big stone in Guinea

The company found a 55-carat diamond at its 75% owned, five-hectare Baoulé kimberlite pipe
Stellar Diamonds finds big stone in Guinea
Stellar owns 75% of the five-hectare Baoulé kimberlite pipe in Guinea

Stellar Diamonds (LON:STEL) unearthed its biggest diamond yet at a project in Guinea.

The company said it had found a 55-carat diamond at its 75% owned, five-hectare Baoulé kimberlite pipe in the west African country.

Stellar said the find confirmed the presence of large stones in the pipe and it was continuing to recover high-quality gems of up to 12 carats.

The gem - the largest discovered to date at Baoulé -  was an unusual stone as it had a low-quality coating but a seemingly better quality diamond inside, Stellar said.

It added that the quality and potential value of the stone was highly uncertain and it would carefully analyse it to find out how much it was worth before deciding on the sales process.

Chief executive Karl Smithson said: "We are extremely encouraged to have recovered this 55-carat stone as it confirms that the Baoulé pipe is a possible source of the large diamonds mined in alluvial deposits downstream of the Baoulé pipe for many years, several of which have been +100 carats in size.

"With approximately 63% of our trial mining and processing at Baoulé now complete, subject to the company having sufficient working capital, we're on track to finalise the trial mining and processing of 100,000 tonnes in the third quarter and look forward to providing further updates in due course."

However, the group said the average grade of the 8,043 carats recovered to date from Baoulé was slightly lower than previously reported. The stock fell 0.7p, or about 7.4%, to 8.8p after the update.

View full STEL profile View Profile

Stellar Diamonds PLC Timeline

Related Articles

Sapphires
August 07 2017
The Aussie sapphire and gemstone group reported a 66% rise in total income for the first half of 2017.
rubies
June 14 2017
Fosun said its 40.85p a share offer is a "compelling cash alternative"

No investment advice

The Company is a publisher. You understand and agree that no content published on the Site constitutes a recommendation that any particular security, portfolio of securities, transaction, or investment strategy is suitable or advisable for any specific person. You further understand that none of the information providers or their affiliates will advise you personally concerning the nature, potential, advisability, value or suitability of any particular security, portfolio of securities, transaction, investment strategy, or other matter.

You understand that the Site may contain opinions from time to time with regard to securities mentioned in other products, including company related products, and that those opinions may be different from those obtained by using another product related to the Company. You understand and agree that contributors may write about securities in which they or their firms have a position, and that they may trade such securities for their own account. In cases where the position is held at the time of publication and such position is known to the Company, appropriate disclosure is made. However, you understand and agree that at the time of any transaction that you make, one or more contributors may have a position in the securities written about. You understand that price and other data is supplied by sources believed to be reliable, that the calculations herein are made using such data, and that neither such data nor such calculations are guaranteed by these sources, the Company, the information providers or any other person or entity, and may not be complete or accurate.

From time to time, reference may be made in our marketing materials to prior articles and opinions we have published. These references may be selective, may reference only a portion of an article or recommendation, and are likely not to be current. As markets change continuously, previously published information and data may not be current and should not be relied upon.

© Proactive Investors 2018

Proactive Investor UK Limited, trading as “Proactiveinvestors United Kingdom”, is Authorised and regulated by the Financial Conduct Authority.
Registered in England with Company Registration number 05639690. Group VAT registration number 872070825 FCA Registration number 559082. You can contact us here.

Market Indices, Commodities and Regulatory News Headlines copyright © Morningstar. Data delayed 15 minutes unless otherwise indicated. Terms of use