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- Gibb River Diamonds (GIB) reports “excellent” new diamond valuations at its Ellendale project in Western Australia
- An independent appraisal of diamonds from the company’s Ellendale 9 lights stockpile showed diamond values of US$1443 per carat
- Gibb River says the updated valuations were “very attractive” in terms of pricing and “re-inforces the inherent value” of its fancy yellow diamonds
- The company believes there exists the potential to capitalise on the uniqueness of these fancy yellow goods to sell at above-market prices
- GIB shares are down 2.27 per cent and trading at 4.3 cents at 3:56 pm AEST
Gibb River Diamonds (GIB) has reported “excellent” new diamond valuations at its Ellendale project in Western Australia.
An independent appraisal of diamonds from the company’s Ellendale 9 Lights stockpile showed diamond values of US$1443 per carat from sample LS2, one of its four bulk samples.
The appraisal was independently conducted by Diamond Valuers International (IDVI), which took samples from the company’s E9 Lights stockpile, Ellendale 12 Alluvial prospect, E9 East Alluvials and E9 West Alluvials.
At its Ellendale 12 Alluvial prospect, Gibb River reported diamond values of $796 per carat, while at E9 East Alluvials, diamond valuation was $828 per carat.
The company reported there was further “excellent” pricing of diamonds from various other Lights stockpile samples.
Gibb River reported the areas offered the best opportunity to re-establish production at Ellendale, with diamond valuations producing high prices driven by the discovery of fancy yellow diamonds.
Previous production from the Ellendale 9 lamproite pipe uncovered 11.5 per cent of diamonds as fancy yellow, while the average diamond mine worldwide produces less than 0.1 per cent fancy yellow diamonds.
Gibb River announced the updated valuations were “very attractive” in terms of pricing and “re-inforces the inherent value” of its fancy Yellow diamonds.
Of the fancy yellow diamonds at Ellendale, 62 per cent are classified as vivid or Intense, the highest-graded yellow colour.
The company believes there exists the potential to capitalise on the uniqueness of these diamonds to sell at above-market prices.
Resource estimates and other studies are underway over the four target areas in the vicinity of Ellendale 9 as the company works to receive a grant for three mining licenses.
GIB anticipates a profitable diamond mining operation through mining diamonds from its E9 Lights stockpiles, E9 West Alluvials, E9 East Alluvials and E12 Alluvials, and reports these valuations will assist studies moving forward.
GIB shares were down 2.27 per cent and trading at 4.3 cents at 3:56 pm AEST.
