JOHANNESBURG (miningweekly.com) – The first new earthmoving equipment has arrived at Lucapa Diamond Company’s Lulo concession, in Angola.
The new fleet, sourced from Caterpillar dealer Barloworld Equipment in Luanda, would enable Lucapa and its partners to double alluvial diamond mining operations at Lulo to 20 000 bulk cubic metres (bcm) a month, the ASX-listed company reported on Tuesday.
The new Caterpillar equipment included three 740B trucks, a 374F LR excavator, a 140 M grader and a D8R bulldozer.
Lucapa said that diamond mining operations would be fully operational at the increased 20 000 bcm monthly rate by the end of the September quarter, which would result in a significant increase in operational cash flow earlier than originally scheduled. The new equipment would also enable kimberlite diamond exploration programmes to be advanced.
Lucapa and its partners have signed a A$4.5-million financing deal with Barloworld for a 12-month term, after which they would own the equipment outright. Lucapa said it intended to use a similar financing structure, at the completion of the current arrangement, to source the additional earthmoving fleet required to ultimately scale up diamond mining operations at Lulo to 40 000 bcm a month.
Meanwhile, the sale of the fifth parcel of alluvial diamonds from Lulo would take place in July.