Burgundy Diamond Mines has abandoned its plans to acquire the Ellendale and Blina diamond projects, in Western Australia, from fellow listed Gibb River Diamonds.
In 2021, Burgundy struck a two-year option agreement with Gibb River Diamonds to earn full ownership of the project. However, the company announced on March 20 that it had elected not to go ahead with this option deed and would not develop the Ellendale project.
Instead, Burgundy would focus on the completion of a $136-million deal to acquire the Ekati diamond mine, in Canada’s Northwest Territories.
Burgundy MD and CEO Kim Truter said the board had made the decision to abandon the development of the Ellendale project as it was in the best interests of shareholders in line with the strategic direction of the company.
Aruna Gaitonde, Editor in Chief of the Asian Bureau, Rough&Polished
In 2021, Burgundy struck a two-year option agreement with Gibb River Diamonds to earn full ownership of the project. However, the company announced on March 20 that it had elected not to go ahead with this option deed and would not develop the Ellendale project.
Instead, Burgundy would focus on the completion of a $136-million deal to acquire the Ekati diamond mine, in Canada’s Northwest Territories.
Burgundy MD and CEO Kim Truter said the board had made the decision to abandon the development of the Ellendale project as it was in the best interests of shareholders in line with the strategic direction of the company.
Aruna Gaitonde, Editor in Chief of the Asian Bureau, Rough&Polished
