Releasing its update for the quarter ended June 30, 2017 (Q4), Firestone Diamonds plc said that it has competed plant commissioning activities at its 75% owned Liqhobong Diamond Mine and reached full nameplate targets for all three months of the quarter. As a result of having treated 925,000 tonnes during the quarter (Q3: 639,000 tonnes) the total for the financial year reached 1,966,000 tonnes, which is at the upper end of guidance range of 1,800,000 to 2,000,000 tonnes, the Company added.

Firestone also reported recovery of 204,000 carats at a grade of 22 carats per hundred tonnes (cpht) (Q3: 103,000 carats at a grade of 16.1 cpht) bringing total carats recovered for the financial year to 365,000 at an average grade of 18.6 cpht, ahead of guidance (360,000 carats). This included the recovery of 54 special stones (larger than 10.8 carats) as well as fancy yellow diamonds (Q3: 31 special stones), taking the total for the financial year to 112 special stones.

During the quarter, Firestone sold all 182,786 carats offered at two diamond sales in May and June 2017 in Antwerp for US$14.1 million at an average price of US$77 per carat. During the financial year total diamond sales amounted to 310,376 carats at US$27.8 million, achieving an average price of US$90 per carat.

Sales would have been higher, Firestone said, but for India’s demonetisation programme, the estimated impact of which reduced sale proceeds by approximately 8% for the Company.

Firestone also said that following the completion of commercial production testing, it had commenced commercial production and ceased capitalising Project expenditure from 1 July 2017. As at 30 June 2017, cash on hand was US$17.3 million, which included the US$5.0 million drawn down from the extended US$15.0 million standby facility, with US$10.0 million still available.

Stuart Brown, Chief Executive Officer, commented: "I am delighted to report that Firestone has finished its financial year with another extremely strong quarter. The commissioning and ramp up process at Liqhobong has been very successful, particularly in terms of mining and treatment and to have achieved commercial production within eight months of start-up is an exceptional record. I am exceedingly proud of the team's performance and in particular the safety record, which we continue to strive to protect. I look forward to reporting on the next financial year where Firestone expects to realise its vision of becoming a mid-tier diamond producer."