Koidu sees 45,000 cts a month in July

Sierra Leonean diamond miner Koidu Holdings is targeting an output of 45,000 carats in July this year from the current 10,000 carats a month.
The company, which is owned by BSG Resources through its Octea diamond unit, said it had secured a $200-million expansion facility from Standard Chartered Bank and the jeweler Tiffany& Co.
Koidu chief executive Jan Joubert was quoted by Reuters as saying that of the $200-million expansion plan, Standard Chartered Bank had provided $135 million in funding, while Tiffany&Co, which buys around 60 percent of Koidu's output had contributed $50 million.
The miner said it was also targeting an output of 35,000 carats in May before it hit 45,000 carats two months later.
Meanwhile, Koidu said that it was studying a possible IPO to raise funds for the development of the separate Tongo diamond concession south of the Koidu project.
"There is significant benefit in having access to capital markets ... Discussions are taking place," Joubert said.
"The assets that we have are in our opinion high value. The two kimberlite pipes and the dykes that you see in Koidu produce some of the world's highest quality diamonds."
The company acquired a concession at Tongo in 2004, and had spent $15 million exploring kimberlite formations there.

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