DiamondCorp
DiamondCorp plc is an emerging diamond producer focused on maximising shareholder value through the development of high margin diamond production assets. The company is incorporated in the UK and the highly prospective diamondiferous regions of South Africa and Botswana are its chosen areas of operation.
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Company Statement:
DiamondCorp plc is an emerging diamond producer focused on maximising shareholder value through the development of high-margin diamond production assets. The company is incorporated in the UK, and operates in the long established diamondiferous regions of southern Africa.
Formed in March 2005, DiamondCorp is currently undertaking the development of the Lace underground mine to access a kimberlite pipe known to extend to depths below 850 metres. This historic mine, famed for its pink and purple fancies, was mined up until 1931 and only ever accessed to a depth of 240 metres. Lace Mine is located near the town of Kroonstad in South Africa's Free State Province. Production is expected by the end of 2011 at a rate of 1.2 million tonnes per annum. Lace's life of mine is estimated at around 25 years, and is expected to produce more than 400,000 carats per annum at peak production, starting in 2016.
In Botswana, which is one of the most prospective countries in the world for new diamond discoveries, DiamondCorp has entered into an exploration joint venture with a local company in respect of three diamond exploration licences in an area totaling 109.2km², and containing nine identified kimberlites. DiamondCorp can earn a 77.5% interest in the project by completing a definitive feasibility study on at least one of the kimberlites over a period of five years.
DiamondCorp is fully compliant with South African minerals legislation. Leading local black economic empowerment (BEE) groups Shanduka Resources and Sphere Holdings each hold a 13% in Lace Diamond Mines (Pty) Ltd, a subsidiary of DiamondCorp plc. DiamondCorp recently raised £7 million to fund the develop of Lace and the Botswana projects.
DiamondCorp plc is listed on the AIM Market of the London Stock Exchange and on the Alternative Exchange (AltX) of the JSE Limited in South Africa, under the abbreviated name 'DIAMONDCP', share code 'DMC'.
Current Operations:
The Lace Project
DiamondCorp’s primary asset in South Africa is the Lace Diamond Mine, an historic operation located some 200 kilometres south-west of Johannesburg, near the town of Kroonstad in Free State Province. DiamondCorp was awarded a mining right to the Lace property in February 2009. Additionally, the Company has the prospecting rights over two other properties, Silverbank and the Moregroet, both of which adjoin Lace. (READ MORE)
Botswana Exploration Joint Venture
In Botswana, which is one of the most prospective countries in the world for new diamond discoveries, DiamondCorp has entered into an exploration joint venture with exploration company Geoperspectives (Pty) Limited. The project covers PL71 totaling 30km², containing five identified kimberlites.
DiamondCorp can earn a 77.5% interest in the project by completing a definitive feasibility study on at least one of the kimberlites by June 2014.
PL71 is located approximately 8 kilometres south-east of De Beers' Jwaneng Mine, the largest diamond mine in the world by revenue.
Within PL71, ground gravity and magnetic surveys over J-01, J-05 and J-12 were completed in 2009 and revealed 10 hectare, 4 hectare and a 45 hectare kimberlite targets for drilling. Two vertical drill holes have been established to test for the presence of kimberlite at depth in J-01. Both holes intersected calcretised kimberlite under just 20 metres of sand, weathered kimberlite at about 40 metres and fresh kimberlite from 70 metres to the end of the holes at 300 and 340 metres.
Initial diamond drilling will start on J05 and J-12 in the second half of 2010. Depending on the results, the kimberlites will then be prioritised for large diameter drilling and bulk testing in 2011. (READ MORE)
Management
Euan Worthington
Non-executive Chairman
Euan Worthington was born in 1956 and has been associated with and involved in exploration, mining development, analysis and corporate finance in London for over 25 years. He has worked as an independent mining finance consultant since 2001 and is a non-executive director of African Eagle Resources plc and European Nickel plc, both listed on the AIM. Mr Worthington holds a BSc Geology (Hons) from Kings College, London, a DIC (Mineral Resources Engineering) and MSc in Mineral Production Management from Royal School of Mines, Imperial College, London.
Paul Loudon
Chief Executive Officer
Paul Loudon was born in 1962 and has more than 20 years’ experience in stockbroking, corporate finance and management of junior mining and exploration companies. He has been President of Battlefields Minerals Corporation of Toronto and non-executive chairman of BDI Mining Corp. He was head of Equities at Loeb Aron & Company Ltd, a London corporate finance house specialising in the mining sector, where he was responsible for raising considerable sums of equity capital for resource companies listed in the United Kingdom, Canada and Australia.
John Forrest
Chief Financial Officer
John Forrest was born in 1947 and is a CPA with more than 30 years’ experience in public company administration and financial management. He commenced his career with Price Waterhouse & Co and currently acts as finance director of several public companies.
George Kennedy Morton
Non-executive Director
George Kennedy Morton was born in 1946 and has more than 40 years’ experience in the banking and finance sector, including senior positions with Toronto-Dominion Bank, The Bank of Nova Scotia, Gulf International Bank, National Bank of Bahrain and Arab Banking Corporation. He is currently a non-executive director of European Islamic Investment Bank plc.
Subhi Benkhadra
Non-executive Director
Subhi Benkhadra was born in 1964 and has more than 20 years’ experience in investment and funds management, having held senior positions with United Bank of Kuwait, Primecorp Investment Management, Investment Trust and Esterad Investment Company. He is currently the chief executive officer of European Islamic Investment Bank plc.
Dr Jonathan Willis-Richards
Non-executive Director
Jonathan Willis-Richards was born in 1955 and holds a bachelor’s degree in Geology from Oxford University and a Master’s Degree in Mining Geology and PhD from Cambourne School of Mines. He is internationally known for his PhD work on numerical modeling in the areas of fractured geothermal and mineralised systems, and is a founder and Managing Director of London mining corporate finance house Loeb Aron & Company Ltd.
Nicholas Allen
Non-executive Director
Nicholas Allen was born in 1937 and has worked in the mining industry for over 40 years, primarily in diamond mining and marketing, including extensive periods with Consolidated African Selection Trust Limited, D.Drukker & Zn NV, George Evans of Antwerp and Benguela Concessions Limited. He is a non-executive director of Mercator Gold plc.
Major Shareholders
Shareholder information
as at 30 April 2010
Share capital
| Total shares in issue | 148,579,533 |
| Warrants (majority expire 2012 90p exercise price) | 6,066,665 |
| Options (majority expire 2017 135p exercise price) | 3,465,000 |
Major shareholdings
| Shares held | % Ownership | |
|---|---|---|
| European Islamic Investment Bank Plc | 39,320,555 | 26.5 |
| Legal & General Investment Management | 15,800,000 | 10.6 |
| Majedie Asset Management Limited | 15,100,000 | 10.2 |
| JPMF Natural Resources Fund | 14,884,121 | 10.0 |
| Lynville Holdings Limited | 10,071,429 | 6.8 |
Updated from company website 17.10.2011
Contact Information
Head Office
1 Liverpool Street
London, EC2M 7QD
United Kingdom
Tel +44 (0) 20 3151 0970
Fax +44 (0) 20 3151 0971
Registered Office
City Group plc
30 City Road
London, EC1Y 2AG
United Kingdom
Corporate Information
Company Secretary
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London EC1Y 2AG
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