Gem Diamonds Continues to Dig Up Big Rocks in Africa

Gem Diamonds Continues to Dig Up Big Rocks in Africa

Gem Diamonds Continues to Dig Up Big Rocks in Africa

$GMDMF

Africa-focused Gem Diamonds (LON:GEMD, OTCMKT:GMDMF) must be getting used to recovering huge precious rocks from its flagship Letšeng mine in Lesotho, as it has just dug up another massive one.

The 138-carat, Top white colour Type IIa diamond is 12th diamond over 100 carats the company finds this year, beating the 11 it unearthed in Y 2015.

The largest diamond found this year is a 910-carat  D colour type IIa diamond, about the size of 2 golf balls, which was named the “Lesotho Legend.”  It became the 2nd largest recovered in the past century and sold for $40 million at an auction in March.

Since acquiring Letšeng in Y 2006, Gem Diamonds has found now 5 of the 20 largest white gem quality diamonds ever recovered, which makes the mine the world’s highest dollar per carat kimberlite diamond operation.

At an average elevation of 3,100 metres (10,000 feet) above sea level, Letšeng is also one of the world’s highest diamond mines.

The biggest diamond ever found was the 3,106-carat Cullinan, dug near Pretoria, South Africa, in Y 1905. It was later cut into several stones, including the First Star of Africa and the Second Star of Africa, which are part of Britain’s Crown Jewels held in the Tower of London.

Lucara’s 1,109-carat Lesedi La Rona was the second-biggest in record, while the 995-carat Excelsior and 969-carat Star of Sierra Leone were the 3rd and 4th-largest.

Elsewhere

Sales at Botswana’s state-owned Okavango Diamond Company (ODC) fell 16% in 1-H of Y 2018 to $260-M, its managing director said, citing a high comparison base against last year’s record growth.

Marcus ter Haar said the company sold 1.778-Mcarats in the frame compared with 1.808-M carats in the same period last year.

“A favorable rough diamond market over this period has meant ODC has generated healthy sales for the 1st half of 2018 despite not being able to offer larger volumes to our customers compared to the same period in 2017,” he said.

Mr. Ter Haar said customers from the United States and Far East largely drove demand in the 6 months through June.

Looking ahead

He said sales for the remainder of Y 2018 were unlikely to be as strong as in 1-H due to an anticipated cyclical downturn in the diamond market.

Have a terrific week.

 

 

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