Maseru (13/03/2018) – The 910-carat gem quality diamond (the largest ever recovered in Lesotho and fifth largest in history) recovered at Letšeng Diamond Mine in January this year, was sold yesterday for M476 million in an open tender in Antwerp, Belgium.
“We are delighted with the outcome of the sale of this legendary diamond. This demonstrates the exceptional quality of our mine and how well the partnership between Gem Diamonds and the Government of Lesotho works,” said Mr Kelebone Leisanyane, the Chief Executive Officer (CEO) of Letšeng Diamonds.
Mr Leisanyane added that the recovery of the 910ct proves the expertise that Gem Diamonds and Letšeng Diamonds bring to the mining of diamonds at the difficult Letšeng deposit.
In excess of 32 million tonnes of waste and ore are moved in order to recover just 100,000 carats of diamonds. “This takes great skill and large amounts of capital brought in as foreign direct investment into the country,” Mr Leisanyane emphasised.
In its February sitting, the Letšeng Board named the 910ct the Lesotho Legend, to reflect its significance to the country.
It is important to note that although Gem Diamonds has 70% of the shares in the Letšeng Mine and the Government holds 30%, the split of revenue is approximately 60% to the Government and 40% to Gem Diamonds. The Government gets a much larger take through royalties, withholding tax, company tax, PAYE tax and VAT.
In addition to the contribution to the Government detailed above, a certain amount of the revenue realised from the sale will be set aside to fund 'The 910 Community Project'. Details of the project have not been determined yet, but in line with Letšeng’s CSRI strategy, it will be a sustainable project aimed at benefitting the local community in the vicinity of the mine.
About Letšeng: Letšeng Diamonds is a mining company that operates Letšeng Diamond Mine. The mine is renowned for producing five large high-quality white diamonds, which are among the largest in the world.
Gem Diamonds Limited acquired the mine in October 2006 and owns 70% of shares while the Government of Lesotho holds the remaining 30%.