New diamond producer BlueRock Diamonds (LON:BRD), which is expected to be revenue generating in its first year of mining, made its AIM debut and moved to a premium.
The company has moved from the ISDX and shares are priced at 10.25p this morning (Wednesday) - a 46% premium to the placing price of 7p.
BlueRock's admission was accompanied by a £1.31mln fundraising, which saw it issue around 18.7 million shares.
It has acquired, subject to government consent, rights over the Kareevlei tenements in South Africa along with a diamond processing plant.
The tenements lie around 100 km north west of the historic Kimberley mine.
Kareevlei has a total inferred resource of 359,000 carats and the plan is to start trial mining on the K1 kimberlite.
In a note, house broker SP Angel said: "The Kareevlei tenements contain five mineable kimberlite pipes. We expect trial mining on the first of these to produce sufficient recoveries for bulk sampling and revenue generation in the first year of mining.
"The team should be in a position to extract and process kimberlite by December 2013. Full production is achievable in year two of mining targeting around 15,750 carats on mined kimberlite of 250,000 tonnes.
"The transfer of mining right will restrict trial mining in the first few months with a transfer of the mining right expected in the first quarter of 2014. The company is able to begin trial mining immediately under agreement with the current licence holder.
"Trial mining should give greater confidence to the valuation based on 223 carats so far with stones ranging in size and quality to the largest stone of 3.74 carats with the average size of 0.14 carats.
The cost of acquiring the assets is around £250,000 with the total cost to start trial mining expected to be around £1.15 mln for plant upgrade and working capital.
SP's mining analyst John Meyer added: "We hope the trial mine at the K1 pipe will show good value and for the first kimberlite to move quickly to larger scale production.
"The mine has the potential to move to profitability within a relatively short time frame.
"The team have good experience in the diamond industry in exploration and production gained while working for De Beers and on other mines in the Kimberley district."