Lucara Announces AK6 Feasibility Study Update

Lucara Diamond Corp. announced that it has received an updated feasibility study on the Boteti Mining (Pty) Ltd AK6 project in Botswana. The company also announced the appointment of Ribson Gabonowe as CEO for the AK6 project.

Lucara said that the study details a cost effective technical solution with a process plant initially designed at a throughput rate of 2.5 million tons per annum (“mtpa”) increasing to 4.0mtpa after 4 year. In a release, the company said that this phased production approach, combined with contract mining, reduces the up-front capital required to bring this project on steam.

The release continued that from an Indicated Resource of 51 million tonnes (“mt”) containing 8.2 million carats of diamond (Lucara News Release 24 March 2010), the mine design delineates Probable Reserve of 36.2 million tons of ore, containing 6.3 million carats of diamond in an open pit to a depth of 324 meters. The reserves will be mined over an 11-year mine life.

William Lamb, president and CEO of Lucara, said, “We are very pleased with the positive indications from this work and we will be proceeding immediately with project engineering. We continue to achieve project milestones to ensure that we remain on track for becoming a significant diamond producer in Botswana, in 2012.”

Commenting on the appointment of Gabonowe, a former director of mines in Botswana, Lamb said, “We are very pleased that Ribson has joined the Boteti team. His experience will add significant value to the development of the AK6 mine.”

Lucara is an African focused diamond production company with currently two mines under development: the newly-commissioned Mothae mine in Lesotho and the AK6 project. Both projects are known for their large, high-quality, high-value diamonds including Type IIA stones produced from the Mothae mine.  

The company holds a 60 percent interest in Boteti. African Diamonds Plc holds the remaining 40 percent.