(Ecofin Agency) - AIM-listed firm, Firestone Diamonds, revealed that its Liqhobong project in Lesotho is 68% complete and on schedule for initial production in Q4 2016.

To reach this level, the company, over 2015’s second semester, completed earthmoving works and power grid project which led to constant supply of power to the mine for the remaining operations. Also, an updated mining plan was adopted in October 2015. It resulted in the augmentation of cut-off grade, excluding of borts, revise average price for carat produced at the mine, now at $165 and confirm the economics of the project’s reference scenario.

To this end, the company used 63% of R2.1 billion ($136 million) revised capital budget which, due to the depreciation of rand to the US dollar, remained within the original $185.4 million.

In preparation of production, the project team bought spare parts, recruited staff, negotiated various operational agreements so as to facilitate extraction works.

Production, in the coming year, will allow Firestone Diamonds to attain its goal namely becoming an intermediate leading diamond producer, as it would mine a million carat each year.

Liqhobong holds more than 11 million carat. Firestone Diamonds Plc detains 75% of the project and government the remaining 25%.

Louis-Nino Kansoun