JOHANNESBURG (miningweekly.com) – A diamond valuation performed on a parcel of 114 ct of diamonds produced at Aim-listed Paragon Diamond's Lemphane operation, in Lesotho, recorded a high-value stone of 3.71 ct, valued at over $2 300/c.
The parcel included a coarse diamond size population of diamonds of 2 ct or greater, with six diamonds ranging from between 2 ct and 6.3 carats, representing 43% of the total parcel carat weight.
“The confirmation of large, high-value diamonds at Lemphane validates our decision to accelerate development of this deposit,” Paragon chairperson Martin Doyle said in a statement.
Ongoing drilling, bulk sampling and surface geological mapping at Lemphane would enable a preliminary geological resource to be determined, as well as the size and quality of diamonds within the kimberlite.
Work on the scoping study was also progressing and a preliminary openpit design had demonstrated the ability to mine in excess of 20-million tons of kimberlite to a depth of 180 m at costs below $10/t.
Drilling, which started in January, was well under way, with the first hole approaching a 200 m depth in kimberlite.
“Drawing on ongoing results from the scoping study, we are currently formulating a mining lease application to be presented to the Ministry of Mines in the first quarter of the year,” Paragon Diamonds said.
The application would incorporate a ramp-up period of over six months, starting later this year and aimed at extracting and processing over 100 000 t of kimberlite, expected to yield between 2 000 ct and 3 000 ct of diamonds.
When incorporated into the geological model presently under development, the company envisaged the initial mining stage would lead to a conceptual openpit mining operation of up to three-million tons a year over a seven-year life.
“With our $10-million financing from our Basuto partner, we are well placed to continue the development of our Lesotho project," Doyle said.