Firestone Diamonds lowers production guidance

Firestone Diamonds revised its production guidance for the year to 30 June 2018 downwards on Tuesday, having recently started a review of its current life-of-mine plan in a bid to optimise mining operations at the Liqhobong Diamond Mine in Lesotho, of which it owns 75%.

The AIM-traded company said it now expected to produce between 800,000 and 850,000 carats in the 2018 full year, compared to previous guidance of one million carats.

It said that, while the overall life-of-mine carats was not expected to change, the lower production guidance was expected to impact revenues in the current financial year.

“As part of this review, Firestone will be extending the mining of the weathered kimberlite over the coming months, in order to access the lower areas of the pit that have historically yielded higher grade and higher value diamonds,” its board said in its statement.

“The company also plans to mine additional waste rock in the coming year, in order to improve the long term mining operations.”