[miningmx.com] – UK-listed diamond producer and exploration firm, GEM Diamonds, said it would launch a feasibility into underground mining at its Letseng diamond mine in Lesotho if the prospects are shown to be good, said BDLive which cited Clifford Elphick, CEO of GEM Diamonds.
“Should the outcome indicate the early-start underground option still shows potential, a full feasibility study will commence,” Elphick said.
He was commenting following publication of GEM Diamonds’ year-end results in which it showed record production from Letseng, its only operating diamond mine after a series of failed acquisitions over the last four years have led to asset restructuring.
Letseng reported record output last year, with 114,350 carats coming from the mine compared to 112,367 carats a year earlier. It realised an average $1,932 per carat on its sales, down from $2,776 a year earlier, an indication of how weak markets are, said BDLive.
Gem has confirmed the main kimberlite pipe extends by 320m and the satellite pipe by 230m. Both opencast mines are mining at about 160m below surface, BDLive said.
