Finland's OK for First Diamond Mine in EU
June 15, 25
(IDEX Online) - Authorities in Finland have officially granted mining rights to Karelian Diamond Resources, taking the Ireland-based company a step closer to operating the first diamond mine in the European Union.
The Lahtojoki deposit is a 71-hectare concession with a 16-hectare kimberlite pipe hosting high-quality colorless and pink diamonds.
Last Thursday (12 June), the Finnish Safety and Chemical Agency registered Karelian's exploration rights, allowing it to use minerals extracted from the deposit, in the Kuopio-Kaavi region.
"Confirmation of the registration of mining rights is a critical step for the company," Karelian said, "and means that the company can plan the next stage of work at the Lahtojoki Diamond Deposit."
It said Lahtojoki would be the first diamond mine in Europe, outside Russia.
"The diamond mining concession together with all claim reports and additional technical material was acquired from A&G Mining Oy," it said in a statement.
"The purchase price was EUR 150,000, comprising an initial purchase price of EUR 50,000 plus a further EUR 100,000 after 24 months unless Karelian decides not to develop the project.
"A royalty to AGM of 1% is payable either in diamonds or cash on diamond production up to 2.5 million carats and 2% payable on diamond production above 2.5 million carats."
Karelian is also exploring for nickel, copper, and platinum-group elements at its Colebrook site, in Northern Ireland.
Pic courtesy Karelian.