HomeCentral AfricaSale of latest batch of Angolan diamonds fetches US$7.3 million

Sale of latest batch of Angolan diamonds fetches US$7.3 million

The sale of 4,126 carats of Lulo diamonds achieved gross proceeds of US$7.3 million, representing an average price per carat of US$1,770.

The latest sale brought gross proceeds from Lulo diamond sales to date in 2017 to $31.6 million at an average price per carat of $1,668.

The next sale of Lulo diamonds will include the 129 carat and 78 carat Type IIa D-colour gems recovered from Mining Block 6.

This sale will take place in either December 2017 or early in 2018.

Lucapa also states that Equigold  has elected to convert fees relating to the $15 million Mothae financing facility into Lucapa shares.

This has resulted in the issue to Equigold of 2,424,155 ordinary fully-paid shares in Lucapa at a VWAP price
of 26.9c per share.

As previously advised, Equigold is associated with prominent Singapore-based resources investor Mr Simon Lee AO.

The terms of the $15 million facility also enable Equigold to further increase its shareholding in Lucapa by converting the last two scheduled quarterly repayments, totalling $3.75 million, into Lucapa shares.

Lucapa has drawn down $10 million of the Equigold facility to advance the Phase 1 development of the high-value Mothae kimberlite project in Lesotho, southern Africa.

Mothae is located within 5km of Gem Diamonds’ Letseng mine, which produces the world’s highest per carat kimberlite diamond production.

Lucapa MD, Stephen Wetherall, says Lucapa welcomes Mr Lee’s ongoing support for the company and its strategy to grow production of large and premium-value diamonds.

Feature image credit: Lucapa Diamonds