Gem Diamonds Finds Another Huge Diamond at its Lesotho Mine
Africa-focused Gem Diamonds (OTCMKT:GMDMF) unveiled a 115-carat stone Tuesday at its flagship Letšeng mine in Lesotho, the latest in a string of major discoveries at the operation this year.
The finding of the high-quality, D-color Type IIa diamond follows the recovery of 5 other diamonds of over 100 carats so far this year at the same mine, in which Gem Diamonds has a 70% stake with the government of Lesotho owning the remaining 30%.
In April, the company unearthed a 114-carat diamond and only a month later it found an 80-carat, D-color Type-II diamond, 1 of the highest-quality diamonds to come out of the Letšeng mine.
Finding follows the recovery of five other diamonds of over 100 carats so far this year at Letšeng mine.
Came June and Gem Diamonds was once again announcing the recovery of two diamonds bigger than 100 carats at the same operation — a 151.52-carat Type I yellow stone and a high quality 104.73-carat, D-color Type IIa stone.
The announcement was followed in July by yet another major discovery at Letšeng — a 126-carat high quality D color Type IIa diamond.
Type IIa diamonds contain very little or no nitrogen atoms, which places them among the most expensive stones.
Since acquiring Letšeng in Y 2006, Gem Diamonds has found 4 of the 20 largest white gem quality diamonds ever recovered, which makes the mine the world’s highest DPC (dollar per carat) kimberlite diamond operation.
At an average elevation of 10,000 feet above sea level, Letšeng is also one of the world’s highest diamond mines.
Investors reacted positively to the news and the stock was trading 1.38% higher in London at 72.25p by 1:27p local time. YTD, however, the company’s shares have lost more than 34% of their value due to weaker diamond demand from Key markets, which has hurt prices.