07 Dec 2021
DiamondWorld Directory
Home |
Mountain Province lowers production for 2020
Mountain Province revised guidance for 2020 for the Gahcho Kué Mine. The Company withdrew its original guidance for 2020 in March due to the impact of the COVID-19 pandemic
By: Diamond World News Service
Jun 22 2020 10:12AM
Reference: 24997  


The revised production guidance reflects the challenges of COVID-19 pandemic and the impact on operations and logistics at the Gahcho Kué Mine, and the necessity to implement changes to operating policies and procedures to minimize the risk of infection. These changes included protecting the workforce by isolating vulnerable employees, implementing travel restrictions to and from the mine, revising health and safety protocols, including on site self isolation, social distancing, and ongoing testing of all employees. The new operating parameters have impacted the ability to utilize the mining fleet at full capacity, which has had a direct impact on the 2020 mine plan. 

The carats recovered forecast for 2020 has been reduced due to lower recovered grades than modelled in small local sections of the Hearne and 5034 kimberlite orebodies, and necessary changes to the mining sequence as a result of COVID-19 related workforce reductions. This has resulted in partial deferral of higher-grade ore blocks into 2021. Despite all these challenges, and considering an ongoing global epidemic, the Company and its JV Partner De Beers Canada Inc. are pleased that the Gahcho Kué Mine continues to operate.

Stuart Brown, the Company's President and Chief Executive Officer, commented: 

"As previously noted, the unprecedented events of COVID-19 have had a major impact on our operations and sales. As a result of the all the interruptions and subsequent changes since the start of the pandemic, our total 2020 production forecast has been lowered by approximately 400K carats whilst maintaining or slightly lowering our cost guidance for full year 2020. The new forecast is the result of a tremendous amount of effort to maintain production at the mine; this has been achieved safely and securely with all employees to be commended for their dedication and hard work. The demand for rough diamonds is starting to show signs of interest. We anticipate the diamond market will continue to open up over the coming months and we look forward to resuming normal sales later in the second half of the year".

2020 Revised Guidance: (all figures quoted on a 100% basis)

  • 37 – 39 million total tonnes mined (ore and waste), adjusted from previous guidance of 42 – 43 million tonnes
  • 3.3 – 3.4 million ore tonnes mined, unchanged from previous guidance
  • 3.3 – 3.4 million ore tonnes treated, unchanged from previous guidance
  • 6.3 – 6.4 million carats recovered, adjusted from previous guidance of 6.75 – 6.95 million carats
  • All in cash costs of $100 - $110 per tonne treated, adjusted from previous guidance of $105 – $115 per tonne treated
  • All in cash costs of $50 – $55 per carat recovered, unchanged from previous guidance
  • Sustaining Capital Expenditure of $21 million, in comparison to $26.5 million of Capital Expenditure previously forecast.

Follow DiamondWorld on Instagram: @diamondworldnet
Follow DiamondWorld on Twitter: @diamondworldnet
Follow DiamondWorld on Facebook: @diamondworldnet
Have Your Say
* Your view
* Name:
* Email:
* Town/city:
* Country/State:
*  Company:
*  Name:
*  Mobile:
*  Email:
Subscribe for DiamondWorld weekly Newsletter
Search News by City
Recent Issue
News in Pictures
Young Diamantaires
Pictures: 16
Stunning Jewellery from Cannes 2019
Pictures: 24
Sparkly Jewels at Oscars 2019
Pictures: 19
Golden Globes 2018
Pictures: 15
Spotted: Who Wore What (December 2018)
Pictures: 4
India Diamond Week
Pictures: 8
Spotted: Who Wore What (October 2018)
Pictures: 7
Spotted: Who Wore What (September 2018)
Pictures: 6
70th Emmy Awards
Pictures: 11
35th India International Jewellery Show 2018
Pictures: 46
JJS - IJ Jewellers Choice Design Awards 2015 powered by GIA
Views: 30171
Diamond World Expert Hour with Evgeny Agureev, Deputy CEO, ALROSA
Views: 6642
GJEPC Chairman Interview
Views: 26442
IJ Jewellers Choice Design Awards 2012 - Part 1
Views: 36347
Promo for IJ Awards 2012 at NDTV Profit
Views: 50287
IJ Jewellers Choice Design Awards 2012- Part 2
Views: 63678
Couture India 2016 - A Business Boutique Show by IJ Magazine
Views: 20390
Savjibhai Dholakiya, Surat Businessman (Diamond Merchant) speaks in Vibrant 2015
Views: 48324
IJ Jewellers Choice Design Awards 2013 - NDTV Video
Views: 47446
GIA 2021
DW Whatsapp Sub sq
Member of:
Supporter of: