Newfield Resources processed 1,694 run-of-mine ore tonnes at its Tongo Diamond Mine in Sierra Leone during the quarter ended June 30, 2023, and recovered 1,781 carats at a grade of 1.05 carats per tonne.
The Tongo Diamond Mine Development comprises two adjacent mining licences covering a combined area of 134 square kilometres in eastern Sierra Leone.
Tongo hosts 11 identified diamondiferous kimberlites, only five of which are incorporated in the current JORC-compliant indicated and inferred diamond resource estimate of 8.3 million carats.
Newfield, under its subsidiary company Sierra Diamonds, developed the Tongo Diamond Mine into production, achieving its first diamond sale in May 2022 at an average price of $262 per carat.
Meanwhile, the company sold 7,329 carats worth $1.35 million during the post reporting period.
The stones attracted an average price of $184.34 per carat.
It also entered into a non-binding and conditional heads of terms with the Africa Finance Corporation for a $50 million debt financing, subject to satisfactory due diligence and final terms being negotiated.
Newfield further entered into a $15 million loan agreement with shareholder Wonder Holdings to fund the continued development of the Tongo Mine Project into production and ongoing working capital requirements.
Newfield said Liberia exploration work was not conducted pending the processing and results of microdiamond samples in the SRC Laboratory in Canada.
Mathew Nyaungwa, Editor in Chief of the African Bureau, Rough&Polished
