Diamondcorp Plc (LON:DCP) will keep its shares suspended while it discusses with creditors its Lace mine in South Africa possibly coming out of Business Rescue.
A huge flood meant Lace had to close temporarily, exacerbating financial problems stemming from teething issues during the ramp-up stage at the diamond mine.
A Business Rescue practitioner, Daniel Terblanche of Deloitte, was appointed last week.
Diamondcorp said today that the flood water had been cleared and the mine’s pumping system was working normally.
The diamond miner added that talks are underway with creditors and insurers while there was 5,130 carat worth of diamonds up for sale in Johannesburg to raise funds.
Diamondcorp is also working with PWC on a plan to raise additional capital if it can successfully conclude the Business Rescue procedure.