Gahcho Kué prices fetch new high at $95/ct

VANCOUVER (miningweekly.com) – Mountain Province Diamonds has recorded its highest average price to date for diamonds produced at its 49%-owned Gahcho Kué mine, in Canada’s Northwest Territories, as it collected $21.1-million at its June tender sale.

The company on Tuesday reported that the fifth tender of rough diamonds from the company’s Gahcho Kué mine had realised $95/ct, compared with $72/ct in the first three tenders and $86/ct at the fourth.

Mountain Province explained that the results were higher on the back of including some of the fancy and special stones for which Mountain Province had successfully bid against mining partner and project operator De Beers. The rest will be included in the planned July tender sale.

Excluding these higher-value goods, the average selling price this month was $75/ct, as the tender included relatively small and low-quality rough diamonds, the company reported.

The June tender drew more bids than any of the company’s sales so far, with repeat customers winning 75% of lots. This is indicative that the rough market's understanding of Gahcho Kué’s diamonds' performance at manufacturing is positive and well on track, VP for diamond marketing Reid Mackie stated.

“Very positive prices were realised on the fancies and specials, and prices realised on the remainder of the offering also exceeded expectations,” the company said.

Each month, the two joint venture partners divide the project’s regular run-of-mine rough production between them and bid against each other for the fancy and special precious gemstones.