BlueRock Diamonds Recovers Largest Stone, Raises Development Funds

Mining and Exploration
13/02/2019 11:22

BlueRock Diamonds, an AIM-listed junior miner which owns and operates the Kareevlei Diamond Mine in the Kimberley region of South Africa, has recovered its largest diamond to date: a 16.28 carat gem-quality stone. It is 4.58 carats larger than the next largest diamond the miner has recovered. On Monday, the company announced it has raised an aggregate of £575,000 ($740,000) through a placement.

Of the latest diamond recovery, CEO Adam Waugh said, “This discovery follows hot on the heels of our recovery of an exceptional 8.97 carat diamond on 1 February. The quality of these diamonds is a reminder of why we are so confident about the potential of the Kareevlei mine and the outlook for 2019.” The 8.97 carat diamond marked the third stone independently valued in excess of $50,000 mined from Kareevlei; the two previous record value stones were a 7.76 carat stone recovered in 2017 and sold for $10,070 per carat and a 10.58 carat stone recovered in 2018 and sold for $7,047 per carat.

In November 2018, the Company raised funds to further the development of kimberlite pipes KV1 and KV2 and also to fund minor improvements to the company’s operating plant which took place during the Christmas shut down period. The main development to KV2 will take place in the second half of 2019. The company says the funds raised in this fundraising will help the company continue to progress the development of Kareevlei. The funds were raised via the issue of 191,666,667 ordinary shares of 0.01 pence each in the capital of the company (new shares) through a placing at a price of 0.3 pence per new share. They are also issuing one warrant for every one new share issued at a price of 0.4 pence with a life of two years from the date of issue.