Mountain Province Diamonds Inc. has reported total revenue from diamond sales of US$ 134 million (C$ 170 million) for the period of 2017 subsequent to the start of commercial production at the Gahcho Kué Diamond Mine. An additional revenue during the year of C$ 68 million was capitalized as pre-commercial production revenue, the Company reported.

Average price per carat for the full-year realization was US$ 70 (C$ 89), it added. The year saw strong participation at the Company's tender sales, with participation rates increasing through 2017.  An average of eleven bids per lot was received in 2017, with individual tenders offering approximately 125 lots per sale and over 100 companies bidding each sale.

During 2017, approximately 2,775,000 tonnes of ore was treated through the process plant and 5,934,000 carats recovered, on a 100% basis, for an average recovered grade of 2.14 carats per tonne, or 32% above the original budget for the year.

Mountain Province Interim President and CEO David Whittle commented, "2017 was a milestone year for Mountain Province as we transitioned from development into commercial production.  Over the second half of 2017, which covers our first two full quarters of reported mine operating results, we saw an adjusted EBITDA figure of $56.6 million, underscoring the cash flow generating capabilities of the GK mine.” 

The cash position at the year end was C$ 43.1 million and net working capital of C$ 96.8 million, with US$ 50 million revolving credit facility remaining undrawn.

Production in 2018 is expected to increase to between 6.3 and 6.6 million carats recovered at an average grade of 2.02 to 2.12 carats per tonne, Whittle also said.

He added that 2018 has seen a strong start in rough diamond markets with the first two sales of the year substantially exceeding expectations, and prices having firmed across all product categories since the second half of 2017.