BlueRock Diamonds PLC has discovered of a 21.56 carat diamond at its Kareevlei project in South Africa.
The 21.56 carat stone is a high quality, D-coloured round diamond with high value recovery options and its value is likely to significantly exceed the company’s previous record of US$236,000. The stone will be sold in the August 2021 tender.
The rough stone market remains buoyant with tenders in South Africa strongly supported and prices achieved year to date in excess of $430 per carat.
Separately, BlueRock has also discovered a nine carat stone.
"I am delighted to inform shareholders that we have recently recovered a 21.56 carat stone of exceptional quality and what we believe will be the highest value stone recovered to date,” said Mike Houston, executive chairman of BlueRock.
"I am also pleased to announce that our expansion project is nearing completion and all aspects of operation from the mine to market are gearing up for what will be a transformational step-up in production in the next couple of months. Our ramp up to full production will now be accomplished in October as a result of some minor delays on the project, and a detailed update and revised outlook is provided below.”
BlueRock recently announced its second quarter 2021 production results where tonnes processed and carats produced were 48% and 117% up on the corresponding quarter in 2020. The processing operation continues to run successfully with the new crushing circuit providing ore to the old plant wet line as the operation transitions fully to the new plant in August and September.
The focus in the mining operation is the preparedness for the increase in production and the wet season. The company has moved a record tonnage of waste (development) and ore tonnes this year as part of this objective.
The grade for the year to date of 4.1 carats per hundred tonnes, in line with budget and market expectations.
The company will continue to keep the old wet line operational until the new wet line is successfully running at the targeted tonnage as this ensures ongoing carats produced in the transitional period.
The recent disturbances in South Africa have contributed to the longer than expected delivery date of the screen and some other equipment needed for the wet plant. The ramp up to full production is a month later than expected and this has had an impact upon BlueRock’s 2021 production guidance, although the revenue estimate for 2021 remains at around US$11mln, due to the very strong pricing environment.