DiamondCorp’s operating losses leaped to £4.1 million ($6.4 million) in the year ended December 2011 from £2.9 million ($4.5 million) a year earlier.
It said in a statement emailed to Rough & Polished that pre-tax losses also increased to £4.2 million ($6.5 million) from £3.3 million ($5.1 million), total administrative expenses were almost unchanged at £2.96 million ($4.6 million) against £2.95 million ($4.57 million) a year ago.
"We remain confident about the future of the diamond market with strong demand from China, India and other parts of Asia expected to add to a growing recovery in US consumer demand,” said executive chairman Euan Worthington and chief executive Paul Loudon.
They said that the only significant new source of diamonds worldwide were the Marange diamond fields in Zimbabwe.
"These stones are having some impact on the smaller and lower quality end of the diamond market but are not expected to fill the emerging gap between supply and demand, particularly for stones over 1ct," they said.
DiamondCorp said that it was ready to start underground mining at Lace Mine, in South Africa as “soon as possible”, adding that it would take 18 months to mine down to the 47 level where they will establish a development level of troughs, slots and haulage ways for the first block cave.
“The mining at that level will be in kimberlite, so we expect our first revenues before the end of Q1 2014 with full production in Q2 2015,” it said.
Mathew Nyaungwa, Editor in Chief of the African Bureau, Rough&Polished
