Letšeng mine records in 2017
Gem Diamonds announces its Full Year Results for the year ending 31 December 2017. According to the operational results, performance of Letšeng mine records, recovery 111 811 carat of rough over the previous year 2016 of 108 206 carats of rough! Overall waste tonnes mined of 29.7 million tonnes was 29.8 million tonnes in 2016.
Seven diamonds larger than 100 carats each recovered while that was, Five in 2016 & 7.87 carat pink diamond achieved US$ 202 222 per carat, making it the second highest price per carat achieved by a Letšeng rough diamond. 58.38 carat white diamond achieved US$ 61 905 per carat, making it the highest price per carat achieved for a Letšeng rough white diamond for 2017.
Focusing Ghaghoo mine, the Gem diamonds achieved full care and maintenance in March 2017 & process to dispose of asset commenced. Commenting on the results, Clifford Elphick, Chief Executive of Gem Diamonds, said: "The second half of 2017 saw the Company begin to benefit from the operational improvements implemented during the year, with a significant improvement in the recovery of the large diamonds from Letšeng. The market for the mine's large, high quality white rough diamonds remained strong over the course of 2017, a trend which has continued into early 2018.
We are pleased to have recently announced that The Lesotho Legend sold for the remarkable sum of US$40 million. This is believed to be the fifth largest gem quality diamond ever recovered and is testament to the world class calibre of the Letšeng mine.
The focus on enhancing the efficiency of our operations identified a potential of US$20.0 million of annualised and once-off efficiency and cost reduction initiatives at the end of last year. A target has now been set of obtaining US$100.0 million of cash savings by the end of 2021, with an ongoing target of US$30.0 million per year thereafter.
