BlueRock Loss Narrows as Sales Rise

RAPAPORT... BlueRock Diamonds improved its bottom line in the first half,as sales grew amid increased production and a higher average price, the minersaid Monday. The company reported a loss of GBP 381,027 ($458,064) fromits Kareevlei mine in South Africa for the six months ending June 30, comparedwith a loss of GBP 1.3 million ($1.6 million) the previous year. Rough sales more than doubled year on year to $1.8 million for the period. That figure included $190,000 for a 24.9-carat stone the miner sold in June. At an average price of $7,631 per carat, the sale set a record for the company. Sales volume jumped 80% to 4,365 carats, with the average price climbing 19% to $405 per carat. Production was 4,936 carats, up from 2,438 carats the previous year. Production levels in May and June were twice as high as those for the same period a year ago, after the company appointed a new managementteam in April, and changed its operation. BlueRock appointed Gus Simbaganevi CEO of Kareevlei, and took on Teichmann Group as a strategic investor in the company. The miner believes it will achieve profitability in the second half after implemeting new initiatives to improve results, it said. It will create stockpiles of run-of-mine rough and crushed ore to offset the impact of the rainy season, during which operations are difficult.Image: A rough diamond from Kareevlei. (BlueRock Diamonds)