Quotes: US MENA   Enter Symbol: NewsLetter: Search: advanced

Goodrich Resources finalises WA diamond mine acquisition  Join our daily free Newsletter

MENAFN - ProactiveInvestors - Australia - 04/02/2013

No. of Ratings : 0
Add to Mixx!


 


(MENAFN - ProactiveInvestors - Australia) Goodrich Resources (ASX: GRX) has added the Ellendale Diamond Mine to its portfolio with the completion of the acquisition of the mine's operator, Kimberley Diamond Company, from Gem Diamonds Limited (LSE: GEM).

The Ellendale Mine, which covers 123.9 square kilometres, is located around 120 kilometres east of Derby in the West Kimberly Region of Western Australia.

The purchase of the Ellendale Mine delivers immediate revenues from production and adds substantial value to Goodrich's portfolio of assets.

For the financial year ending 31 December 2012, Kimberley Diamond Company will report EBITDA of 16.5 million, based on unaudited management accounts and excluding the effects of non-recurring items.

Goodrich has acquired 100% of the share capital of Kimberley Diamond Company, which holds a 100% interest in Ellendale.

Additionally, Kimberley Diamond Company holds an 8.4% interest in Blina Minerals (ASX: BDI), which holds exploration ground adjacent to Ellendale.


Ellendale Diamond Mine

Ellendale is the world's leading source of rare fancy yellow diamonds and contributes an estimated 50% of the world's supply.

The mine hosts an Indicated and Inferred Resource of 91.3 million tonnes at an average grade of 4.35 carats per hundred tonne (cpht), as well as Probable Reserves of over 6 million tonnes at 4.38cpht.

A recent increase in the floor price of fancy yellow diamonds enabled the tonnes remaining in the existing E9 pit to be increased from 3.1 million tonnes to 4.2 million tonnes.

Processing of E9 stockpiles is scheduled to continue until February 2015.


Production upside

Several potential sources of additional ore have been identified that may enable operations to be extended beyond 2015.

At the previously-mined E4 pipe, 1.2 million tonnes of high grade ore remains on the run of mine pad and a further 1 million tonnes of ore is exposed in the pit. A further 1.8 million tonnes is available at E4 via a cut-back.

To the immediate east, the E4 Satellite pipe contains an Inferred Resource of 15.3 million tonnes, and sampling to date suggests this pipe is mineable at present diamond prices.

At E9, the current operation, an Indicated and Inferred Resource of about 12 million tonnes may be mineable via a cut-back with modest improvements in diamond prices and mining costs.

Additionally, a surface stockpile consisting of processed residues and unprocessed oversize ore, variably estimated at 10 to 14 million tonnes, will be evaluated as a potential low-cost resource.

 






  MENA News Headlines


 
Click to Apply






Google

 
 

Middle East North Africa - Financial Network

MENAFN News Market Data Countries Tools Section  
 

Middle East North Africa - Financial Network
Arabic MENAFN

Main News
News By Industry
News By Country
Marketwatch News
UPI News
Comtex News

IPO News
Islamic Finance News
Private Equity News

How-To Guides
Technology Section

Travel Section

Search News

Market Indices
Quotes & Charts

Global Indices
Arab Indices

US Markets Details

Commodoties

Oil & Energy

Currencies Cross Rates
Currencies Updates
Currency Converter

USA Stocks
Arab Stocks
 

Algeria 
Bahrain 
Egypt 
Iraq
Jordan 
Kuwait 
Lebanon
Morocco 
Oman 
Palestine
Qatar 
Saudi Arabia 
Syria
Tunisia 
UAE 
Yemen

Weather
Investment Game
Economic Calendar
Financial Glossary

My MENAFN
Portfolio Tracker

Voting

Financial Calculators

RSS Feeds [XML]

Corporate Monitor

Events

Real Estate
Submit Your Property

Arab Research
Buy a Research

Press Releases
Submit your PR

Join Newsletters


 
© 2000 menafn.com All Rights Reserved.  Terms of Service | Privacy Policy | Contact Us | Advertise | About MENAFN | Career Opportunities | Feedback | Help