BlueRock Diamonds PLC (LON:BRD) expects to ramp up production at its Kareevlei diamond mine in South Africa this year as it operates from its upgraded plant.
The AIM-listed diamond mining company estimates it can achieve an average grade of between 3.5 carats per hundred tonnes (cpht) and 4.5 cpht, indicating total production of between 9,500 and 12,500 carats. Last year the mine, located in the Kimberley region, produced 3,728 carats.
The group expects to treat more than 275,000 tonnes in 2018, compared to 153,147 tonnes last year.
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The average price per carat is forecast to be at the lower end of 2018 guidance, assuming no significant changes to global demand, after reaching US$362 this year.
The company said production volumes to date are in line with management expectations despite an extended Christmas break and disruption caused by rainfall in the first two months of the year.
Recovered grades and average price per carat for the year to date are also in line with estimates.
BlueRock expects to provide an update at the end of March for production and tenders in the first three months of the year.