Firestone Diamonds Publishes Updated Study For Liqhobong mine

(IDEX Online News) – Firestone Diamonds plc has released an updated Definitive Feasibility Study (DFS) for the Liqhobong diamond mine in Lesotho which is owned 75 percent by Firestone and 25 percent by the Lesotho government.

The revised DFS reflects the basis upon which the company intends to proceed with the financing and construction of the project.

It is anticipated that construction and early works for the Main Treatment Plant will commence in early 2014 when funding is finalized.

Thereafter, the project is scheduled to take two years to construct and commission with full production scheduled to begin in early 2016.

Stuart Brown, incoming Chief Executive Officer, said, "The updated DFS has confirmed the board's view that Liqhobong is a world class diamond project that will yield very good returns for all of its stakeholders.

“Alongside the increased diamond values previously reported, our updated numbers released today further demonstrate management's long held belief in the compelling economics of the project."

The updated DFS re-validated operating and capital cost assumptions and updated foreign exchange rates.

Firestone announced last monthreports that its base average price per carat, excluding potential large stones, for diamonds from Liqhobong had increased to $107 per carat from $98 per carat.

The price, including large stones of 100 carats and more, could potentially be $156 per carat.

The updated values were provided by an independent mineral resources consultant, following an analysis of the pilot plant's diamond production over the past 22 months, the firm said.