Southstone subsidiary appoints new contract miner at Oena diamond mine

Southstone Minerals says its 43% owned subsidiary, the African Star Minerals (ASM), has entered into a contract mining and diamond recovery agreement with Oryx Mining at Oena Diamond Mine, in South Africa.
It said Oryx, at its own cost and expense, will provide and maintain all the plant and equipment as required to perform the mining services.
The diamonds produced by Oryx will be sold through a designated Tender Facility in South Africa and 80% of the gross income of net diamond sales, less commission, will be paid to Oryx for the duration of the 36-month agreement.
For any individual stones recovered with a gross selling price, less commission, of greater than R10 million Oryx will be paid 70% of the gross income.
“Oryx specialise in the processing of alluvial diamond deposits in South Africa and the operation is currently targeting to operate 24 hours a day, six days a week with a total head feed capacity of 200 tonnes per hour,” the company said.
Oena consists of an 8,800-hectare mining right located along the Orange River in a well-established alluvial diamond-mining province that produces high quality and large-sized diamonds.

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