Frontier Diamonds is very close to reaching its processing target at its Sendibeng diamond mine in South Africa.

The Sedibeng mine’s “throughput” reached 7200 tonnes in March — and Frontier (ASX:FDX) expects to achieve its targeted rate of 10,000 tonnes by June.

Throughput refers to the amount of raw material fed into the processing plant which is then filtered for diamonds.

“We are now well advanced towards achieving our targeted throughput level of 10,000 tonnes per month following the introduction of the Sub Level Retreat Mining method at Sedibeng,” chief executive officer Jan Louw said.

“We are also very pleased with the improved grades being achieved and the recovery of several exceptional and highly impressive stones from newly developed areas of the mine.”

Sub Level Retreat Mining is a method of underground mining that involves vertical mining in a large, open stope (level) that has been created inside an ore vein.

This method tends to retreat away from previously mined or unsupported areas.

Total Sedibeng diamond production for March was 1513 carats. This includes the recovery of five exceptional stones totalling 72 carats.

Frontier is focused on the development and production of two operating diamond mines in South Africa – The Star and Sedibeng mines – which it acquired from Petra Diamonds, the country’s biggest diamond producer and the world’s fourth largest.

The company was one of the first to list on the ASX in 2018 following the completion of a $4 million initial public offering.

Frontier recently discovered stones as big as 1.45 carats at a new site close to its main Sedibeng project.

Bellsbank Pipe will undergo a significant bulk sample program starting in late May as the 27m of Overburden will have been removed by then, exposing the known Kimberlite,

The recovery of diamonds in the overburden announced on March 7 is hugely positive and the recently completed 1 million tonne plant gives scope for another source of revenue that was not projected in the IPO prospectus.

 

This special report is brought to you by Frontier Diamonds.

This article does not constitute financial product advice. You should consider obtaining independent advice before making any financial decisions.

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