BlueRock Diamonds PLC Operational update (8435P)
22 November 2016 - 11:30PM
UK Regulatory
TIDMBRD
RNS Number : 8435P
BlueRock Diamonds PLC
22 November 2016
BlueRock Diamonds plc
("BlueRock" or "the Company")
22 November 2016
Operational update
BlueRock Diamonds is pleased to give the following update on
operations at Kareevlei, its licence area in the Northern Cape
containing five known Kimberlite pipes.
The Company continues to plan and execute work at BlueRock's
plant to be able to re commence processing run of mine material by
the end of January 2017.
The work that started in late October to reposition the pans and
scrubber is now finished ahead of time. This work is expected to
improve the steady flow of material into our pans with subsequent
efficiency and grade improvement. Testing of these modifications
using stockpiled ore will take place over the next few weeks.
Orders have now been placed for the construction of new primary
crushing and pre-screening circuits. These new elements of the
operation are expected to be completed by mid-January 2017. This is
the biggest change to BlueRock's process and at the highest capital
cost of approximately R2.5m The Board expects these changes to
firstly reduce variable costs and secondly provide a more
consistent product to the processing plant which should enhance
processing efficiency and improve grade.
Following a competitive tender, the Company has entered into a
contract with African Mining and Crushing (AMC) to take over the
Drilling and Blasting and Loading and Hauling work at the mine with
operational and cost benefits expected to follow from this new
relationship.
Assessment of water usage continues and the Company is currently
re-lining and repositioning the main primary water reservoir having
discovered water leakage from the existing reservoir. This work is
not expected to add materially to costs. In addition, the Company
continues to make key hires in order to support the anticipated
gradual ramp up of production and move to 24 hour processing.
Adam Waugh, CEO commented
"I am pleased to be able to report the significant upgrades are
all within budget and on time at this stage. We still have much to
do before the planned production ramp up in January 2017 but I am
confident our team can deliver what is required and I look forward
to updating the market as we progress."
Market Abuse Regulation (MAR) Disclosure
Certain information contained in this announcement would have
been deemed inside information for the purposes of Article 7 of
Regulation (EU) No 596/2014 until the release of this
announcement.
Enquiries:
BlueRock Diamonds SP Angel Corporate
plc Finance LLP
Adam Waugh, CEO Nominated Adviser &
awaugh@bluerockdiamonds.co.uk Broker
Stuart Gledhill / Lindsay
Mair
+44 (0) 20 3470 0470
About BlueRock Diamonds plc (AIM:BRD)
BlueRock is a diamond mining company with activities in the
Kimberley region of South Africa. BlueRock owns a diamond
processing plant and the mining right over the Kareevlei Tenements
in South Africa.
This information is provided by RNS
The company news service from the London Stock Exchange
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