Only a month after the discovery of the second largest diamond ever recorded, Lucara Diamond (TSX:LUC,OTC Pink:LUCRF) has announced the recovery of another significant stone from its Karowe mine in Botswana.
The new find is 1,094 carats compared to the massive 2,942 carat rough diamond uncovered by Lucara in August, solidifying Karowe’s reputation as one of the world’s most prolific sources of large diamonds.
The rough diamond is the sixth stone over 1,000 carats that Lucara has unearthed from the mine. According to the company, the EMPKS ore type at Karowe’s South Lobe hosts these large, high-value stones.
The company said the newly recovered 1,094 carat diamond will be polished through its partnership with HB Antwerp, a collaboration responsible for processing several of Lucara’s previous large stones. The August discovery is slated for evaluation and processing as well, with both stones expected to yield significant returns once polished.
Previous collaborations with HB Antwerp have resulted in polished diamonds worth over US$13 million.
‘The recovery of this exceptional 1,094 carat diamond is a testament to Karowe’s remarkable potential and further validates our investment in the underground expansion project,’ said Lucara President and CEO William Lamb.
“These continued discoveries of large, high-value diamonds demonstrate the consistent quality of our resource and its ability to deliver substantial returns,” he added in a Sunday (September 15) press release.
In addition to Lucara’s recent 1,094 and 2,942 carat discoveries at Karowe, other notable recoveries include the 1,758 carat Sewelô diamond, discovered in 2019, and the 1,109 carat Lesedi La Rona diamond, found in 2015.
Lucara’s use of cutting-edge technology has been key in these recoveries. Since implementing X-ray transmission technology in 2017, it has been able to detect large diamonds while minimizing the risk of damage during extraction.
Botswana, where Karowe is located, is a key player in the global diamond production industry. The country is the largest miner of diamonds by value and is second only to Russia in total production.
Lucara’s ongoing recoveries further bolster Botswana’s standing, particularly as the government seeks to ensure more profits from diamond mining remain in the country. The nation has recently proposed new regulations requiring mining companies to sell a 24 percent stake to local investors unless the state chooses to take the stake itself.
Furthermore, Botswana has been working to increase its influence in the industry, particularly through negotiations with De Beers, the world’s largest diamond producer, through a new 10 year agreement signed in 2023.
Securities Disclosure: I, Giann Liguid, hold no direct investment interest in any company mentioned in this article.
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