Mountain Province Sets Production High, Earns Lower Prices at 6th Sale of 2018

Mining and Exploration
17/08/2018 16:07

Canadian miner Mountain Province Diamonds earned $22.2 million (C$28.9 million) from 334,751 carats of Gahcho Kué goods sold at its recently completed sixth diamond sale of the year. The average price earned of $66 per carat was lower compared to the previous sale of $85 a carat, "driven by a much smaller offering of fancies and specials and a slight softening in prices for smaller, lower priced diamonds," said Reid Mackie, the Company’s Vice President Diamond Marketing, but the price earned was in line with expectations. 

“Our sixth sale was well attended by customers despite the normal market slowdown which occurs in advance of the market’s summer break," he said. "Overall, the impact of the small decline in average prices for run of mine goods was not material compared to those achieved in the previous sales and prices for better quality fancies and specials remain firm." The miner also made a successful bid (against Gahcho Kué JV partner De Beers) for the fancies and specials from the most recent shipment of diamonds received from the mine. The parcel includes four exceptional gem stones with carat weights of 91, 83, 58, and 45 carats. The continued recovery of exceptional stones from Gahcho Kué firmly establishes the mine as a regular producer of large, high value diamonds.

Production for July set new records from a tons processed and carats recovered perspective with 299,150 tons processed yielding 709,106 carats on a 100% basis, at an approximate grade of 2.37 carats per ton. The higher grade is attributable to more tonnage from higher grade areas in 5034 and the Hearne pit where we are currently seeing higher grades yielding a finer distribution. Stuart Brown, the Company’s President and Chief Executive Officer, commented, “The sixth sale of the year saw another strong performance for Mountain Province Diamonds with all goods selling. We continue to see strong interest in our fancies and specials and look forward to selling our latest excellent stones later in the year.”