DiamondCorp Lace project 'to cost up to R126m'

DiamondCorp expects development of its Lace project in the Free State to cost up to R126 million. Net capital cost estimates to reach full production range frosmall scale manganese jaw crusher south africam R100 million to R126 million, depending on revenue from diamond sales during development, the African diamond mine development and exploration company, said on Monday.

The company has just completed a detailed review of full-scale mine development costs and estimated life of mine operating costs for the project near Kroonstad, where underground bulk sampling is underway. "The Lace mine has the potential to be a significant cash generator for DiamondCorp, with more than 25 years of mine life," said DiamondCorp CEO Paul Loudon. "At current strong diamond prices, the initial minimum operating margin is expected to be a robust 46%, rising to very high levels if the diamond grade improves with depth as forecast in the geological model," Louden said. The 30,000 tonne bulk sample underway at Lace will determine the initial mining grade and carat value at the top of the first mining block...