BlueRock Diamonds PLC (LON:BRD) said kimberlite processing has begun at its KV1 pipe at the Kareevlei diamond mine in South Africa.
The AIM-listed diamond miner said the KV1 pipe, one of the five known kimberlite pipes in the Kareevlei project area, has an inferred mineral resource grade of 6.3 carats per hundred tonnes (cpht), 40% higher than the KV2 pipe where processing commenced in 2014.
READ: BlueRock Diamonds crushing it again at Kareevlei
BlueRock added that KV1 was located 40 meters from KV2, and therefore over time, the two pipes would be mined into a single open pit, allowing it to benefit from a lower stripping ratio.
The firm added that the crushing circuit at the project, processing at around 80 tonnes per operating hour following the installation of a second cone crusher and the implementation of optimisation initiatives, would allow it to alleviate production challenges often faced in the rainy period between January and April.
Adam Waugh, chief executive of BlueRock, said the processing from KV1 was anticipated to increase the overall grade at the project, “allowing for greater flexibility in production and more consistent results”.
Waugh added that the outlook for 2018 was “looking positive” with a third-quarter production due in early October.
In early morning trading Tuesday, BlueRock shares were up 5% at 1p.