JOHANNESBURG (miningweekly.com) – Aim-listed diamond development company Firestone Diamonds is on track for fourth-quarter initial production from its Liqhobong diamond mine, in Lesotho, with 72% of construction completed by the end of March.
The project was also within the original $185.4-million budget, with 70%, equating to $129.9-million, or R1.5-billion, of the the revised capital budget of R2.1-billion having been spent by the end of the March quarter.
“Firestone has achieved another strong quarter of progress at Liqhobong . . . The last quarter saw favourable weather conditions at site and the granting of a number of work permits by the government of Lesotho, our 25% partner in the project, contributing towards completing a number of key project components,” CEO Stuart Brown said in a statement on Thursday.
The company remained fully funded to complete the project, ramp up production and complete the first sale of diamonds from Liqhobong.
With all significant civils and earthworks work completed in the preceding quarter, allowing for the erection of the main plant, a number of project items were either completed or at 98% completion, including the design, engineering and procurement, the residues storage facility starter wall and the structural steel fabrication.
The emerging mine also had more than 500 000 m3 of water on site, sufficient for the first year of production.
During the quarter under review, Firestone initiated operational readiness and contract placement and staff recruitment, while detailed mine planning continued to be refined and reviewed as the project progressed towards production.
At the end of March, Firestone had $14.8-million cash-on-hand and $47-million available pursuant to the Absa debt facility.
Edited by: Creamer Media Reporter
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