Gem Diamonds Opens Ghaghoo Diamond Mine

(IDEX Online) – Gem Diamonds Ltd has opened the Ghaghoo diamond mine in Botswana, which will be the first underground diamond mine in the country.

The miner said the opening was a “significant milestone” for Gem Diamonds as it looks forward to operating its second major producing diamond mine, in addition to the Letšeng mine in Lesotho.

Gem Diamonds held an opening ceremony at the mine today attended by President of Botswana, Seretse Khama Ian Khama.

“Through a phased development plan, Ghaghoo is expected to emerge as part of a new generation of diamond mines in Botswana, with a core focus on ensuring that the highest benchmarks of excellence across health and safety and social and environmental impacts are achieved.” The firm said. “The company has undergone a series of extensive studies and assessments relating to the environment, local communities and broader social impacts of the Ghaghoo mine, which will provide a critical framework to ensure that the mine operates to the most stringent of international standards. This is a strategic priority for the company in a rapidly changing environment for the global mining industry, and will contribute to the further to the modernization of the diamond mining industry to ensure long term sustainability.

“The mine has a unique foot print, as an underground diamond mine, significantly reducing environmental impacts. The mine has been built to very high specifications to ensure that the environment is protected as far as possible, with comprehensive rehabilitation plans in place. The company has undergone a number of in-depth community consultations as part of a broader community and social engagement strategy and as a means to accurately understand potential social impacts.”

The company is expected to employ approximately 250 people in Botswana once full Phase 1 production is achieved in 2015.

The objective of Phase 1 of the development is to confirm the grade, diamond prices and the recovery processes. Results from Phase 1 will define the further development plans at Ghaghoo.

Clifford Elphick, CEO of Gem Diamonds commented: “We are very pleased to be bringing the Ghaghoo mine into production. This is a significant step forward for Gem Diamonds as a company as we add another mine to our portfolio of producing assets. The potential of this ore body and the economic benefits to shareholders, employees and the Botswana nation will soon become evident. We believe that our steadfast approach and commitment to being an excellent corporate citizen, and working to ensure we operate in an environmentally and socially responsible manner is key in determining the long term success of the Ghaghoo mine.

“The mine and our investment to date demonstrates our commitment to the country and to the people of Botswana. We see considerable opportunities in playing an important role in the country’s future and bringing jobs and economic opportunities to the surrounding communities.”