"Dramatic" Improvement in Operations at Gahcho Kue, Canada

By John Jeffay / October 18, 2020 / www.idexonline.com / Article Link

(IDEX Online) - Mountain Province Diamonds announced a 17 per cent increase in carats recovered from its Gahcho Kue mine.It said it had adapted to COVID-19 work practices and concentrated its efforts on a pit yielding higher grade diamonds.The Canadian miner recovered a total of 1,794,408 carats in Q3, up from 1,528,494 carats for the same period in 2109.It holds a 49 per cent stake in the mine (pictured), in a remote part of the Northwest Territories, as part of a joint venture with De Beers, but it markets and sells its share of the diamonds independently.Stuart Brown, president and CEO, said: "We are pleased with the latest quarterly production figures considering the impacts of COVID-19 on operations over the past few months. "We have dramatically improved our mining operations from the previous quarter (Q2 2020) by achieving 30% more in total tonnes mined and we expect this trend to continue into the next quarter. "Total carats and grades were also higher in Q3, primarily as a result of mining from the 5034 pit where grades are higher than other parts of the ore body.Mountain Province Diamonds (MPD) reported losses of $21.8m for Q2, as COVID-19 brought demand to a virtual halt.But it received a liquidity lifeline from Irish billionaire Dermot Desmond, 69, whose diverse holdings include a share of Scotland's Celtic football club and a  32 per cent holding in MPD through his firm Dunebridge.It agreed to buy up a total of $50m of rough at the market-related prices and pay MPD its share of the profits when it sold it on.  MPD was unable to hold any formal sales during Q2.

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