Business
H1 2016 Trading Update
H1 2016 Trading Update.
About this update from Gem Diamonds Limited
[{"type":"text","content":"\n \nRNS Number : 5239E Gem Diamonds Limited 19 July 2016 \n\n \n19 July 2016 \n \n \n \nGEM DIAMONDS LIMITED\nH1 2016 Trading Update\n \nGem Diamonds Limited (LSE: GEMD) (\"Gem Diamonds\" or the \"Company\" or the \"Group\") is pleased to provide the following Trading Update detailing the Group's operational and sales performance for the Period 1 January 2016 to 30 June 2016 (\"H1 2016\" or the \"Period\") ahead of its Half Yearly Results which will be released on 17 August 2016. \n \n \nLetšeng: \nLetšeng Diamonds continues to perform well with consistent prices achieved on a like-for-like basis. Carat production is currently tracking towards the top end of guidance for 2016. \n· Recovered 57 380 carats during the Period (50 019 carats in H1 2015).\n· Average grade achieved over the Period was 1.72 cpht (1.61cpht in H1 2015).\n· Average price of US$ 1 899 per carat achieved in H1 2016 (US$ 2 264 in H1 2015). The price achieved reflects the mix of diamonds recovered and fewer +100 carat diamonds, as mining worked through a lower value, but higher grade area during the Period. \n· Waste stripping is progressing well and in line with the optimised mine plan. \n· Amongst the exceptional diamonds recovered, an undamaged Type II 160 carat and an 11.8 carat pink diamond (which sold for US$ 187 000 per carat) were recovered during the Period. \n· Post Period end: an exceptional quality 104 carat Type II white diamond was recovered in July 2016.\n \nGhaghoo: \nDevelopment of production Block 2 on Level 1 completed.\n· Development of production Block 2 on Level 1 completed and development of Level 2 has commenced. \n· As reported, a sale of Ghaghoo production was held in Q1 2016 and achieved an average price of US$ 160 per carat. A further sale took place in June 2016 and achieved an average price of US$ 155 per carat due to an increase in the proportion of finer material sold. \n \nFinancial:\n· The Group had US$ 66.4 million cash on hand as at 30 June 2016, of which US$ 53.1 million is attrib...