Business
Annual Results Announcement
Annual Results Announcement.
About this update from Gem Diamonds Limited
[{"type":"text","content":"\n Gem Diamonds Limited\n23 April 2008\n\n GEM DIAMONDS LIMITED\n\n (Gem Diamonds) or (the Company)\n\n\n\n ANNUAL RESULTS ANNOUNCEMENT\n\n FOR THE YEAR ENDED 31 DECEMBER 2007\n\n\n\n2007 was Gem Diamonds first financial year as a listed company. The Company's\nfocus for the year was the execution of its acquisition strategy outlined at the\ntime of its IPO as well as the development of existing assets to increase\nproduction. During the year capital raised on IPO was deployed on acquisitions\nin Australia, Botswana, DRC and Indonesia which are all now under Gem Diamonds'\ncontrol.\n\n\n\nThe Letseng Mine's processing capacity was increased with the construction of\nits second plant and early stage operations in central Africa were progressed.\nSales in Q108 of rough and polished diamonds from Letseng, Cempaka and Ellendale\ndiamonds have all shown strong price increases.\n\nHIGHLIGHTS\n\n\n\n- Global diamond mining company with assets in seven countries\n\n- Listed on LSE in February 2007 raising US$636 million\n\n- Revenue of US$153 million\n\n- EBITDA of US$74 million\n\n- Targeted acquisition strategy successfully pursued\n\n- Diversified diamond resource with in situ value of US$11.4 billion\n\n- Three producing operations with circa 750 000 carats expected for 2008\n\n- Positive results from diamond beneficiation trials\n\n\n\nCommenting on these results, Gem Diamonds CEO, Clifford Elphick said:\n\n\n\n'The past year has seen Gem Diamonds achieve many of the milestones outlined at\nthe time of its IPO. These strong financial results demonstrate the merit of\nthe Company's strategy to focus on the top end of the diamond market. A sector\nthat continues to show remarkable price increases in line with strong demand\nfundamentals.\n\nGem Diamonds enters 2008 with three producing mines situated in different\ncountries, all of which are in expansion mode and producing diamonds that\ncontinue to achieve extraordinary prices. Development projects throughout Africa\nprovide an opportunity to more than double the current production levels.\n\nWhilst the current US economic climate presents a challenge, opportunities\nabound throughout the diamond value chain to deliver returns to our\nshareholders. Our outlook remains extremely positive.'\n\n\n\nFor further information:\nGem Diamonds Limited Pelham PR\nClifford Elphick Candice Sgroi...