Lucara And HB Extend Deal for 10 Years

By John Jeffay / November 17, 2022 / www.idexonline.com / Article Link

(IDEX Online) - Lucara has extended its "groundbreaking partnership" with HB Antwerp to sell its specials (+10.8-cts) for the next 10 years.The Canadian miner first joined forces with HB in July 2020 to sell the high-value rough from its Karowe mine, in Botswana (pictured).Under the agreement, Lucara's +10.8 carat production is sold at prices based on the estimated polished outcome of each diamond, determined through state-of-the-art scanning and planning technology.A true-up is paid to adjust for any difference between the estimate and the actual price paid, less a fee and the cost of manufacturing.The +10.8 carat rough diamonds have historically accounted for approximately up to 70 per cent of Lucara's annual revenues. Lucara says the deal means higher prices at tender, regular cash flow, and a more efficient supply chain as well as tax benefits and beneficiation opportunities for the Botswana government.Eira Thomas, Lucara's CEO, said: "For the first time in our 10-year history, we have insight on what becomes of each and every +10.8 carat rough diamond produced from our mine, participating in each step of the planning and manufacturing process right through to the final polished sale."

Recent News

Major investment banks make major gold price upgrades

April 15, 2024 / www.canadianminingreport.com

Gold stocks near flat as equities dip

April 15, 2024 / www.canadianminingreport.com

Revenue estimates for gold stocks have remained relatively flat

April 08, 2024 / www.canadianminingreport.com

Gold stock valuations remain low even after price surge

April 08, 2024 / www.canadianminingreport.com

Gold stock to global money supply far from bubble territory

April 01, 2024 / www.canadianminingreport.com
See all >
Share to Youtube Share to Facebook Facebook Share to Linkedin Share to Twitter Twitter Share to Tiktok