Jul 22, 2015

Kimberley Diamonds Inks Contract for Lerala Plant Modifications

Kimberley Diamonds (KDL), which recently finalised a loan of A$ 10 mn from Zhejiang Huitong Auction Co Ltd of China has inked a A$ 9.83 mn contract with South Africa-based Consulmet for the modification of the Lerala plant in Botswana. The modifications will allow the plant to operate more effectively, and reliably treat 200 tonnes per hour.

As per the schedule announced by the company, plant modification work would commence in late July and is expected to be completed by February 2016. KDL also said that it plans to ramp up the plant commissioning and processing of existing run of mine stockpiles at that time and aim to hold its first diamond sale in March 2016.

Consulmet is a South African based company which specialises in the design, supply and construction of mineral processing plants, and has significant experience designing plants for diamond producers, having operated in Africa since 1993.

It has been involved in ongoing discussions regarding the plant modification work since 2014, and prepared the design and detailed engineering work for the proposed plant modifications by December 2014.

The Lerala project is believed to have a total resource of 10.3-million tonnes, at an average grade of 31.5 carats per hundred tonnes, totalling approximately 3.3-million carats. Once in production, the mine was forecast to have a life of some seven years, treating 1.4-million tonnes of ore a year and producing an average of 357,000 ct/y.