Canadian miner Stornoway Diamond Co. rebounded from a difficult final quarter of 2018 to post significant increases in total carats sold, leading to a big rise in gross proceeds. Stornoway in Q1 2019 sold 429,506 total carats at two tender sales a Bonas tender house in Antwerp, earning about US$35 million (C$47 million) at an average price of US$83 per carat (C$110 per carat).
Canadian diamond miner Stornoway encountered a host of difficulties in 2018 on its way to a US$246.8 million (CA$329.4 million) loss, substantially widening the loss of US$85.6 million (CA$114.2 million) recorded last year. The miner's challenges included delays in the ramp-up of the Renard 2 underground mine, the processing of low-grade stockpiles during the transition from open pit to underground operations and weak diamond prices.
Stornoway Diamonds got its production levels back on track in Q4 2018 after "challenging" year of ramping up their underground operations at the Renard mine in Canada, giving them the confidence to raise their production guidance for 2019. Production, sales and revenue all declined significantly from the miner's 2017 levels, but they recorded a 24% increase in the average price per carat earned despite a market downturn in the second half of 2018.
Stornoway Diamond Corporation has announced that Matt Manson will step down as President and CEO of the Corporation, effective January 1, 2019, and will be succeeded by Mr. Patrick Godin. Mr. Godin is currently the Corporation’s Chief Operating Officer, and has served in this role since 2010. So as to achieve an orderly transition in 2019, Mr. Manson will provide support to Mr. Godin as he assumes his new role.
Canadian diamond miner Stornoway sold 184,620 carats in two tender sales for gross proceeds of $24.7 million at an average price of US$103 per carat (C$134 per carat) as price weakness returned to smaller and lower quality diamonds, a decline of 7% compared to the second quarter. Prices in the larger and higher quality items have remained firm. By way of comparison, the miner sold 201,283 carats at two tenders in Q2 for $28.6 million, at an average price of US$109 per carat.
Canadian miner Stornoway Diamonds reported a net loss of US$27.5 million (C$35.9 million) during the second quarter despite higher revenues, as the transition to underground mining at the Renard mine impacted the company's carat recoveries and sales during the first half of the year. The move underground has taken longer than anticipated, as equipment availability and management problems have slowed their progress. The recorded loss compares unfavorably to the $3.1 million in profit the company achieved in the second quarter last year.
Canadaian diamond miner Stornoway suffered higher losses during the first quarter of 2018 as it makes the transition from open pit to underground mining, which has had a negative impact on carat production as they have moved to the processing of lower grade ore.
Quebec-based Stornoway Diamonds full-year results reflect “a lower diamond price environment than was originally forecast by the Corporation". The company reported a net loss of CAD $114.6 million (US$ 89.1 M) from net income of CAD $19.6 million (US$ 15.2 M) in 2016 in its financial year ended December 31, 2017. The results reflect "a lower diamond price environment than was originally forecast by the Corporation". Before the impairment net income was $11.1 million for the fourth quarter and $15.0 million for the year.
Stornoway Diamond Co. has announced the attainment of full Completion Certification at the Renard Mine in Quebec, Canada. Construction on the project commenced on July 10, 2014, and commercial production was declared on January 1, 2017. "Completion" entails the delivery of certificates for the mine’s physical facilities, the attainment of certain sustained production targets and operating cost efficiencies, certification on the performance of the corporation’s diamond marketing activities, and certification of compliance with the terms of the corporation’s material finance agreements.
In the framework of the City of Antwerp's economic mission to Canada this week, the Antwerp World Diamond Centre paid a visit to one of the Antwerp diamond industry's major trade partners, Stornoway Diamond, at the miner's new Renard Mine in Quèbec.
Stornoway Diamond Corporation has released its third quarter production and sales results from its Renard Diamond Mine in Quebec, with better ore grades leading to higher carat recoveries; the junior miner also saw growth in carats sold and an improving price per carat, though the issue of diamond breakage has yet to be solved. During the quarter, 506,380 tons of ore were processed compared to the plan of 540,000 tons (-6%).
Stornoway Diamond Corporation today announced the production of one million carats of diamonds at the Renard Diamond Mine in Quebec. The Canadian miner declared commercial production on January 1st, 2017, and as of December 31 2016, the company had recorded the recovery of 448,887 carats from total of 399,162 tons of ore. Full name-plate capacity of 6,000 tons per day, based on 73% plant utilization, is scheduled to be achieved by the end of the second quarter. According to their guidance for 2017, they expect diamond sales of 1.8 million carats at ten tender sales in Antwerp, Belgium.
Canadian miner Stornoway Diamond Corporation earned US$35.4 million (C$48.5m) from the sale of 459,126 carats rough of stones for the quarter ended March 31, 2017, the first full operating period for the Renard Mine. Commercial production was officially declared on January 1, 2017.
Stornoway Diamond Corporation has announced 2016 production results from its Renard Mine in Quebec that far outstrip its projected output. For the year ended December 31, 2016, Stornoway mined 2,074,827 tons of ore from the Renard 2- Renard 3 and Renard 65 open pits, compared to a plan of 879,641 tons (+136%).
Canadian miner Stornoway Diamond Co. announced it has commercial production at the Renard Diamond Mine. Commercial production at Renard is defined as an average processing rate of 60% of plant name-plate capacity over a 30 day period. This was achieved on December 3, 2016, with an average processing rate of 4,120 tons per day over the preceding 30 day period compared to a name-plate capacity of 6,000 tons per day.
Stornoway Diamond announced the completion of the first sale of its Renard Mine diamonds, which took place between the 14th and 23rd of November, in Antwerp Belgium. Reportedly a total of 38,913 carats were sold at an average price of US$195 per carat accounting for proceeds of US$7.6 million. Last month the Canadian Corporation announced they would be going on sale two months prior to what had previously been anticipated.
Canada's Stornoway Diamond Corp.'s third quarter results show the company in the midst of shifting from completing construction of their Renard Mine to ramping up production as their maiden rough diamond sale begins in Antwerp, two months earlier than previously anticipated. The quarter saw the official opening of Renard on October 19, 2016 after ore processing commenced on July 15, 2016. Construction progress, at 99%, was essentially complete at the end of the quarter.
Today’s opening ceremony marks the culmination of approximately 20 years of work to bring the Renard Project from a green-field exploration concept to a fully operating new diamond mine. A long list of individuals can claim a share in the success of this enterprise. While we celebrate the official opening ceremony today, our production ramp-up continues and we remain on schedule to achieve commercial production by the year end.
Stornoway Diamond has announced that its first sale of its Renard Mine diamonds will be held in Antwerp, Belgium starting on November 14th, 2016. This is two months earlier than previously anticipated, according to a press release. First ore was introduced to the Renard diamond plant on July 15, 2016. As of the quarter end, 91,010 tons of ore had been processed with attributable carat production of 111,556 carats, representing an average grade of 123 carats per hundred tons.
Canada's Stornoway Diamond Corp. has announced that 91,912,732 common share purchase warrants were exercised at a price of $0.69 (C$0.90) per share for total proceeds to the Corporation of $63 million (C$82.72) million. This represents 97.47% of the warrants issued on July 8, 2014. President and CEO Matt Manson commented, “We are grateful for this expression of confidence by our warrant holders. The funds received from this exercise will be used to complete the construction of the Renard Project ahead of drawing upon our committed C$100 ($76.75) million senior loan facility.
Stornoway Diamond Corporation reports that overall construction progress at its Renard Diamond Project stands at 96% compared to the recently re-baselined plan of 90% and the initial plan of 82%; the first diamond production is expected to take place later this year. As of the end of May, all major equipment and control systems had been installed in the project’s diamond process plant, primary crusher and processed kimberlite load-out facility. The project’s power plant, water treatment facility and maintenance facilities are fully operational.
Stornoway Diamond Co. (Canada) has announced the results of an updated mine plan and mineral reserve estimate for the Renard Diamond Project, reporting a 25% increase in the probable mineral reserves from 17.9 to 22.3 million carats (representing 33.4 million tons at an average grade of 67 carats per hundred tons).
"Junior miners almost never make the leap into successful producers with large-scale operations and happy shareholders", writes the Financial Post. "But Stornoway Diamond Corp., which is on track to bring Quebec’s first diamond mine into production this year, showed it really can be done, even in a rough market. Unfortunately, it would be pretty tough to replicate the Stornoway model. It required being in the best possible jurisdiction, great exploration success, incredible timing and a fair bit of luck.