Gem Diamonds has made another significant discovery at its Letšeng mine in Lesotho, unearthing a 129.71-carat Type II white diamond on August 23. This marks the tenth diamond over 100 carats recovered by the company in 2024, reinforcing Letšeng’s reputation for producing large, exceptional white diamonds. The mine, which is 70% owned by Gem Diamonds, is recognized as the highest-dollar-per-carat kimberlite diamond mine in the world and is one of the most elevated diamond operations globally, situated at 3,100 meters (10,000 feet) above sea level.
This discovery follows the recovery of a 172.06-carat Type II white diamond in June, demonstrating Letšeng’s consistent output of high-value stones. Type IIa diamonds, like those found at Letšeng, are particularly valued for their purity, containing minimal to no nitrogen atoms, making them some of the most prized and collectible gemstones.
Alongside these significant finds, Gem Diamonds has reported an increase in half-year revenues, driven by the higher recovery of large stones. The company posted revenues of $78 million for the first half of 2024, an 8.6% increase compared to the previous year, with underlying EBITDA more than doubling to £19.1 million. These financial gains were achieved despite ongoing global diamond market pressures that have negatively impacted prices.
The company attributed the revenue increase to improved operational outputs and cost containment efforts, which helped offset the impact of lower diamond prices. Consequently, Gem Diamonds has revised its full-year guidance, projecting the recovery of between 98 and 101 kcts and the sale of between 100 and 103 kcts.
Gem Diamonds' continued success in recovering large diamonds, coupled with strategic operational improvements, positions the company as a key player in the global diamond industry, even amidst current market challenges.
