GEM Diamonds’ Letseng keeps momentum going on 100 carat recoveries

GEM Diamonds Lesotho-based mine Letseng continued to yield diamonds over 100 carats, the company said in a fourth quarter production update today, adding that stones of this size now totalled 15 for 2018 – a record for the mine.

Commenting in a fourth quarter production update, the group also said it was well on the way to achieving its $100m, four-year business transformation target. Some $60m in incremental revenue, productivity improvements and cost savings had been identified. More details would be published during the firm’s review of its 2018 which is scheduled to take place on March 13.

During the fourth quarter, three more diamonds with a weight in excess of 100 carats were recovered from the mine. Total carats for the year came in 13% higher at 126,875 carats. At 33,140 carats, the company sold 9% more in the fourth quarter compared to the third quarter.

At the end of the quarter, GEM Diamonds had a net cash position of $17.5m of which $14m was attributable to Gem Diamonds.