Profits up at Gem Diamonds, Despite Covid Closure
March 15, 21
(IDEX Online) - Gem Diamonds saw an increase in revenue and profits in 2020, despite Covid forcing the closure of its Letseng mine, in Lesotho, between March and May.
The London-based miner reported net profits for the year of $24.3m, up almost 130 per cent on $10.6m in 2019. Sales were up 4.2 per cent to $189.6m.
Letseng mine, the highest dollar per carat kimberlite diamond mine in the world, achieved an average value of $1,908 per carat. The highest per carat value for a white rough diamond during the year was $38,827 per carat.
Sixteen diamonds larger than 100 carats each recovered, compared with 11 in 2019.
"Gem Diamonds has delivered positive operational and financial results during a very challenging year," said CEO Clifford Elphick in the company's Full Year Results for the year ending 31 December 2020.
"The stronger prices achieved in the second half of 2020, reaffirms the recovery of the diamond market and the unique quality of the Letseng production."
He said Gem planned to pay an ordinary dividend of 2.5 US cents per share.
Pic courtesy Gem Diamonds