JOHANNESBURG (miningweekly.com) – Aim-listed BlueRock Diamonds has raised £860 000 through the issue of 68.8-million shares at a price of 1.25p apiece to further develop mining operations at its Kareevlei mine, near Kimberley, in the Northern Cape.
BlueRock on Thursday said its blast programme at the mine had completed the removal of the calcrete cap from the entire kimberlite pipe. The company expects to have completed the blasting and processing of the entire first level of kimberlite, which comprises calcretised kimberlite, by mid-August.
Thereafter, the company will blast the lower-level kimberlite, where test results indicate a marked increase in grade is expected, which should allow the mine to move into operational profitability.
Production continues to improve with BlueRock having achieved 20 000 t of production during July. August started well and it is hoped that there will be an increase on July's tonnage.
“These funds will enable us to complete some minor modifications to our plant designed to increase production volumes further and provide the working capital to put us in a position to achieve our short-term goal of 25 000 t/m production.
“We will soon be mining the sub-20-m level of kimberlite where we expect to see an uplift in our grade of diamonds recovered and a move to profitable mining. This will put us in a good position to optimise our known resource at Kareevlei and explore new opportunities,” commented CEO Adam Waugh.
The company is evaluating the entire 3 000 ha of land covered by its mining right and will shortly be test drilling certain anomalies that have been identified.
Once confident that current operations are operating as expected, the company plans to explore further on the current site, which has five identified kimberlite pipes, and to start the bulk sampling work on project Jubilee.