Gem finds 155ct diamond, Q1 recoveries up 5.9%

Gem Diamonds Ltd discovered a 155ct diamond earlier this month from the Letseng operations in Lesotho, Southern Africa, the corporation said alongside a first-quarter trading update.

It recovered 28,114 carats inside the 1st quarter, up 5.9% from the year-earlier period, from Letseng and noted that nine rough diamonds had realised sale rates in excess of US$1 million every single.Stone Crusher

Nonetheless, the typical carat price tag of US$1,976 at Letseng was down 36% year-on-year, it stated, adding that it received an typical of US$ 1,049 for diamonds from its Ellendale mine in Australia.

The corporation stated it anticipated buoyant diamond costs for the year, arguing that “despite the fairly thin volumes getting traded inside the polished industry in high end goods, costs in these goods each inside the polished wholesale industry and high finish branded auctions are expected to enhance further.”

Analysts at Numis Securities said “Lower average rates may possibly disappoint, but the superior variations ought to be smoothed the moment the Letseng expansion is in spot. Gem remains an excellent longer-term story for exposure to rising prices.”Stone Crusher Machine

Gem stated that plant construction at its Ghaghoo project in Botswana would commence this week, but that progress in advancing a decline at the project had been slower than anticipated.