UNDERGROUND AND SUSTAINING CAPITAL EXPENDITURES The assumptions for carats recovered and sold as well as the number of tonnes processed are consistent with achieved performance in recent years. In 2022, the Company expects to mine between 4.6 and 5.6 million tonnes, of which ore tonnes mined represent approximately two-thirds of total tonnes mined. Centre lobe material, combined with ore from the underground development will replace lower grade stockpiles towards the end of the open pit mine life. Quarterly tenders and regular sales through Clara, primarily for stones less than 10.8 carats in size will continue, consistent with the practise from previous years.įollowing the successful project financing for the Karowe underground expansion project in mid-2021, the open pit mine plan was revised to extend the life of the open pit into 2026. Higher value stones greater than +10.8 carats in size will continue to enter the manufacturing pipeline at HB, giving the Company exposure to polished prices and regular cash flow from the highest value portion of the Karowe production. The Company will continue to use three different sales channels to maximize revenue and generate consistent cash flow to support the Company's operations and its investment in the underground expansion project. In 2022, the Company's revenue forecast assumes that 100% of the carats recovered will come from the higher value M/PK(S) and EM/PK(S) units within the South Lobe in accordance with the mine plan, generating revenue between $185 and $215 million in 2022. The project remains on schedule and budget, with a forecasted spend of up to $110 Million in 2022." The underground expansion at Karowe provides access to the richest portion of the orebody and will extend minelife to at least 2040. The completion of a supplemental debt financing package in 2021 to support our underground expansion project was a significant de-risking milestone for the company and the project, which was $64 Million spent by Q3 2021 and 20% complete. This does not include any estimated contributions of revenue from large, exceptional diamonds that have historically formed a regular part of Karowe's production profile. In 2022, our tenth year of operations at Karowe, Lucara anticipates producing up to 340,000 carats which will be sold through its innovative, multi-sales channel approach generating revenues between $185 and $215 Million. (a) Cash cost per tonne mined (ore and waste)īotswana G&A expenses, including sales and marketing, per tonne processedĮira Thomas, President and CEO commented: "The business environment for diamonds and diamond jewellery is the healthiest we've seen in several years, spurred on by an improvement in global supply and demand fundamentals, a trend which is expected to continue. Total operating cash costs per tonne processed (including (a) to (b) below):
0 Comments
Leave a Reply. |
Details
AuthorWrite something about yourself. No need to be fancy, just an overview. ArchivesCategories |