Key Points
- Gem Diamonds extends revolving credit facilities by two years.
- New pit slope design enhances efficiency and sustainability.
- Lower ore-to-waste ratio leads to significant cost savings.
A two-year extension of the company’s revolving credit facilities and an updated life-of-mine plan for its Letšeng mine in Lesotho have been announced by London-listed Gem Diamonds.
Gem Diamonds announces two-year extension of revolving credit facilities.
In order to improve operating efficiency, a steeper slope design for the final open-pit cutback at the satellite pit has been approved in the modified plan. In order to ensure a more sustainable mining operation, this new design attempts to increase ore access and decrease waste.
The completion of the high wall’s structural and lateral support designs represents a critical turning point in the project’s progress. As the mining operation develops, these steps are meant to guarantee its stability and safety.
Lowering ore-to-waste ratio significantly reduces operational costs.
By drastically lowering the ore-to-waste stripping ratio for Satellite Cut 6 West (SC6W), the business has achieved noteworthy progress.
The ratio, which was previously at 1:6.9, has been lowered to 1:2.1, resulting in a decrease in the overall amount of waste material from 87.9 million tonnes to 21.5 million tonnes. One of the main elements of the entire cost-cutting strategy is this reduction.
According to North miners, uture waste-stripping expenses, which are predicted to be over $180 million, are anticipated to significantly decrease as a result of this modification. The total efficiency of the project has also increased due to the SC6W ore’s decrease from 12.8 million tonnes to 10.4 million tonnes.
Under the present pit slope design, SC6W has been reviewed since the middle of 2023 with the aim of minimising waste stripping in a safe and responsible manner. Steeper slopes in the satellite pit’s competent basalt hard-rock waste sectors have been incorporated into the updated pit slope design, which improves extraction efficiency while upholding safety regulations.
The steeper pit and inter-ramp slopes underwent a thorough stability investigation by geotechnical specialists. The design of prospective rockfall mitigation strategies and the required lateral support were both influenced by this investigation. It is anticipated that these actions will guarantee safe mining methods in these more rugged regions, reducing the risks connected with such activities.
In order to provide financial flexibility for continuing operations, the group’s revolving credit facilities, which total $71.7 million and were scheduled to expire on December 21, 2024, will now be extended for two years, until December 21, 2026.
