Stornoway makes the grade in Q3
by carly_midgley | October 16, 2018 11:15 am
[1]Photo © www.bigstockphoto.com
Stronger grade and carat recoveries were two of the hallmarks of the year’s third quarter for Stornoway Diamond[2] and its Québec-based Renard[3] mine. Grade improved by 39 per cent, while carat recoveries saw 47 per cent improvement. In part, Stornoway attributes this to the completion of its ramp-up to design capacity[4] at the mine, as well as the recovery of higher-grade ore.
“The new ore-sorting circuit, operating since May, is performing well and yielding both lower levels of diamond breakage and higher levels of diamond liberation,” said Stornoway’s CEO, Matt Manson. “Both bode well for future value recovery.”
During the quarter, the company held two tenders, which generated gross proceeds of $24.7 million for 184,620 carats of diamonds. That equates to an average price of $134 per carat. Manson says attendance at the tenders remains strong and that pricing is up compared to 2017. However, there could still be tough times ahead for the diamond trade.
“During the third quarter, we saw price weakness return to smaller and lower-quality diamonds after more than a year of steady price gains,” he said. “Underlying polished diamond demand remains strong in the U.S. market, but is being impacted by currency weakness in the emerging markets amidst global trade concerns. This has put pressure on certain segments of the rough diamond trade.”
- [Image]: https://www.jewellerybusiness.com/wp-content/uploads/2018/10/bigstock-Beautiful-Shiny-Diamond-Isola-248850415.jpg
- Stornoway Diamond: http://www.stornowaydiamonds.com/English/home/default.aspx
- Renard: http://www.stornowaydiamonds.com/English/our-business/renard-mine/default.aspx
- ramp-up to design capacity: https://www.jewellerybusiness.com/news/renard-completes-underground-production-ramp-up/
Source URL: https://www.jewellerybusiness.com/news/stornoway-makes-the-grade-in-q3/