Lucara terminates HB Trading sale agreement

28th September 2023 By: Mariaan Webb - Creamer Media Senior Deputy Editor Online

Lucara terminates HB Trading sale agreement

Canadian diamond miner Lucara Diamond has terminated the sales agreement with HB Trading, following a “material breach of financial commitments” by HB.

Lucara says it will continue to use its established mechanisms to sell Karowe's rough diamond production, namely through its Clara diamond sales platform, traditional tenders and other value-added mechanisms for stones. 

"The Lucara production profile is unique in the diamond industry and the company will continue to look at innovative sales mechanisms to maximise the value of our rough diamonds,” comments CEO William Lamb.

In November 2022, Lucara signed a ten-year sales agreement with HB Trading to supply the manufacturer with diamonds of 10.8 ct and above mined from the Karowe mine, in Botswana until the end of 2032. This followed on two years of diamond supply between the parties. 

In the second quarter of this year, Lucara sold $25.8-million worth of diamonds through HB.