Lucapa to more than double output this year

Lucapa Diamond is projected to produce between 40,400 and 42,600 carats in 2021 compared to 18,890 carats, a year earlier.
Of the expected output, its 40%-owned Lulo mine in Angola will produce between 12,400 and 13,200 carats while its 70%-owned Mothae mine in Lesotho is expected to produce between 28,000 and 29,400 carats. 
Lucapa said the increased production is due to both mining operations being in full production for the remainder of the year at their expanded capacities, whilst in 2020 Mothae was placed in care and maintenance for six months and Lulo operated at a reduced capacity due to COVID restrictions. 
It is also expecting an average price of between $957 and $1,034 per carat this year compared to $745 per carat in 2020.
The increase would be due to strong demand, a re-balanced and far more robust diamond market that has emerged from the pandemic returning diamond prices to levels last seen in 2018. Diamond prices in 2020 during the height of the pandemic, were up to 30% lower.
Lucapa has also projected a cash operating cost of $638 to $657 per carat in 2021 compared to $878 per carat, the previous year with the per-unit operating cost decreasing due to higher volumes forecast for the year as a result of higher capacities.

Mathew Nyaungwa, Editor in Chief of the African Bureau, Rough&Polished