In the media

DiamondCorp starts Lace diamond mine development

25 January 2013


JOHANNESBURG ( – Southern African diamond development and exploration company DiamondCorp initiated the 47-level development activities at its R384-million Free State-based Lace diamond mine.

The JSE- and Aim-listed group said that, with the project now fully funded, it could expect first diamond recovery during the third quarter of 2014 from its 1.2-million-ton-a-year underground block-cave development, near Kroonstad.

The Lace mine, which would transform DiamondCorp into an underground diamond producer, would be block-cave mined, with three caves planned over its 25-year life-of-mine on the 47-, 67- and 85-levels, at depths of 470 m, 670 m and 850 m respectively.

Lace mine was expected to produce more than 500 000 ct/y of diamonds at peak production by 2025.

DiamondCorp CEO Paul Loudon commented that the main pipe at the development held 33.1-million tons of kimberlite indicated and inferred to a depth of 855 m and contained 13.4-million carats in both resource categories at an average grade of 40.1 carats per hundred tons.

“Anticipated revenue from the mine is forecast at R421-million during the 43 months of development before full production of 100 000 t/m is achieved,” he said, adding that the resource had an in-ground value in excess of $2-billion at $160/ct.

The next four months would see the group focus on, besides others, excavating a new 66 000 bank cubic metre boxcut; completing a vent raise from the 16-level; installing a tipping arrangement on the 24-level; rebuilding a further underground loader and two dump trucks; upgrading the dense media separation plant; and completing detailed design drawings for the underground conveyor belts.


The development kicked off after DiamondCorp received the first $3-million tranche of a $6-million term loan from Tiffany subsidiary Laurelton Diamonds this month.

A second tranche of $3-million was scheduled to be paid on April 10.

The total funding available for the project now stood at R320-million and included the $6-million loan from Laurelton, the £4.2-million raised through the issue of convertible bonds in December and a R220-million project finance facility secured from the Industrial Development Corporation in September.

This represented a 33% contingency on the company’s forecast R285-million peak funding requirement.

Useful links

Mining news links sites

Mineweb is a web-based international mining publication focusing on mining financial and corporate news and comment.
Miningmx is a new online mining media enterprise, a publication held in joint venture with Finance Week, a business unit of Media 24 which is, in turn, a division of South Africa’s largest media group, the US-listed Naspers Limited.
Informed comments and independent mining news.
Resource Investor
Resource Investor provides unique independent news, analysis, commentary and analytics on the sectors with the goal of empowering readers with information.

© 2017 – DiamondCorp Plc  |  Register for alerts |Glossary | Sitemap | Disclaimer
Produced by: Russell & Associates