Gem Diamonds Earns $12M from 'Flexible' Large Stone Tender

Rough Market
01/04/2020 16:56

Gem Diamonds is seeking alternative methods to keep revenue flowing during the days of the coronavirus lockdown. Today they announced that the first round of the flexible tender sales process concluded on 26 March 2020 and raised US$12.1 million for a selection of Letšeng’s large, high quality diamonds.

The flexible tender sales process was put in place as a result of the March large diamond tender being cancelled due to the travel and other Covid19 restrictions imposed by the Belgian government - Gem Diamonds markets their goods in Antwerp - and the governments of the company's clients. The flexible tender sales process will continue during the period of these restrictions. 

“The results of the initial round of the flexible tender sales process for a selection of Letšeng’s large diamonds demonstrates the continued demand for these high quality diamonds," commented CEO Clifford Elphick. "The US$12.1m raised from the sale maintains revenue and cashflow during the current challenges of the Covid19 global pandemic." The miner announced last week that in line with the Lesotho Government’s three week lock-down strategy (from 29 March to 21 April 2020), to combat the spread of the Covid19 disease, the decision has been taken to temporarily place the Letšeng mine on care and maintenance for this three week period.