Gem Diamonds’ Second Letseng Plant Nears Completion
April 01, 08
A second processing plant for stones from Gem Diamonds’ Letseng Mine is in its final stages of development, with the first batch of ore having been processed through the facility on March 23.
The firm notes that final commissioning is continuing and full production from the gravity-fed DMS plant is expected to be reached during the second quarter of 2008. The existing recovery plant will now service both treatment plants.
With the completion of the plant’s commissioning, Letseng’s hard rock processing capacity will double from 2.6 to 5.2 million tons per annum (mtpa), making it the world’s seventh largest diamond mine by throughput, or ore processing capacity, the company said in a release.
Gem Diamonds decided to build the additional plant in October 2006, halving the life of the open pit kimberlite mine from 70 to 35 years and significantly enhancing its net asset value.
In 2007, 76,873 carats were sold from Letseng Mine, a 45 percent increase on the 52,998 carats sold the year before. In 2008, the mine is expected to produce approximately 100,000 carats. The mine is operated by Letseng Diamonds, which is 70 percent owned by Gem Diamonds and 30 percent owned by the Government of the