Firestone Diamonds PLC Results of First Diamond Sale (6707W)
February 13 2017 - 1:00AM
UK Regulatory
TIDMFDI
RNS Number : 6707W
Firestone Diamonds PLC
13 February 2017
13 February 2017
Firestone Diamonds plc
("Firestone", the "Group" or the "Company") (AIM: FDI)
Results of First Diamond Sale
Firestone Diamonds plc, the AIM-quoted diamond company, is
pleased to announce the results of the first sale of diamonds
recovered from its Liqhobong Diamond Mine ("Liqhobong"). Liqhobong
is owned 75% by Firestone and 25% by the Government of Lesotho.
The sale was held in Antwerp from 6 to 10 February 2017.
Highlights
-- All 75,936 carats offered for sale were sold
-- Average price of US$107 per carat
-- Total sale proceeds of US$8.14 million
The Liqhobong Diamond Sale
Firestone's first sale of diamonds saw over 90 companies viewing
the goods and more than 38 companies being successful. The Company
sold all of the 75,936 carats offered for sale, realising an
average price of US$107 per carat, resulting in total proceeds of
US$8.14 million.
The average price per carat achieved was very pleasing,
considering that the carats sold were recovered from the
predominantly lower quality ore areas and are not necessarily
representative of the run of mine ore. As previously announced, the
Company will only realise consistent run of mine results post ramp
up, when it will have mined ore from across the whole pipe.
The higher quality diamonds were competitively bid for during
the sale. The best stone, a 37 carat type 2a internally flawless
white stone was sold for well over US$1.0 million. A number of
yellow and fancy yellow stones included in the sale also achieved
competitive prices, with interest being exceptionally strong in
these categories.
Next sale
As previously announced, the Company expects to host two sales
per quarter. The second sale is expected to be in late Q1 2017 and
the Company will update the market on the result of future sales on
a quarterly basis going forward.
Stuart Brown, Chief Executive Officer, commented:
"We are very pleased to have undertaken Firestone's first sale
of diamonds from Liqhobong and with the results achieved.
We look forward to better results as we gradually increase our
mining to all areas of the pit and increase our run of mine
production over time.
Prices were strong in the better quality diamonds, with the
prices for the smaller stones being reflective of the current
weaker market conditions but pleasingly we sold all of the stones
offered for sale.
To have recovered some exceptional white and fancy coloured
stones at this early stage is extremely pleasing and we believe
that the Liqhobong orebody will, over time, prove to be an exciting
one.
We would like to take the opportunity to thank our partners in
the Lesotho Government for their vital support in bringing the
Liqhobong mine into production and cooperation in selling our
diamonds."
The information contained within this announcement is deemed by
the Company to constitute inside information as stipulated under
the Market Abuse Regulations (EU) No. 596/2014 ("MAR").
For more information contact:
+44 (0)20
Firestone Diamonds plc 8741 7810
Stuart Brown
+44 (0)20
Strand Hanson Limited (Nomad) 7409 3494
Stuart Faulkner
Richard Tulloch
James Dance
Macquarie Capital (Europe) Limited +44(0)20 3037
(Joint Broker) 2000
Raj Khatri
Nick Stamp
Mirabaud Securities LLP (Joint
Broker)
+44 (0)20
Rory Scott 7878 3360
+44 (0)20
Ed Haig-Thomas 7878 3447
Tavistock (Public and Investor +44 (0)20
Relations) 7920 3150
+44 (0)7788
Emily Fenton 554 035
Jos Simson
Barney Hayward
Background information on Firestone
Firestone is an international diamond mining company with
operations focused on Lesotho. Firestone is currently in the
process of commencing production at the Liqhobong Diamond Mine in
Lesotho to become a one million carat per annum producer.
Lesotho is emerging as one of Africa's significant new diamond
producers, hosting Gem Diamonds' Letseng Mine, Firestone's
Liqhobong Mine and Namakwa Diamonds' Kao Mine.
For more information please visit: www.firestonediamonds.com
**ENDS**
This information is provided by RNS
The company news service from the London Stock Exchange
END
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