Advanced Search

Lucara Mulls Lesedi La Rona Partnership

Aug 9, 2017 10:54 AM   By Rapaport News
Comment Comment Email Email Print Print Facebook Facebook Twitter Twitter Share Share

RAPAPORT... Lucara Diamond Corp. could enter into a partnership to sell the Lesedi La Rona diamond having failed to secure a buyer in the time frame the company had planned.

If no one purchases the stone in the next six to eight weeks, the Canada-based miner will consider a revenue-sharing deal to sell the 1,109-carat rough diamond, Lucara CEO William Lamb said in an earnings call last week. Under such an agreement, Lucara would likely sell a stake in the stone to another company, while retaining the rights to a percentage of future polished proceeds.

While Lucara does have “one or two options for [selling] the rock,” Lamb said in the call transcribed by Seeking Alpha, efforts so far have yielded no results. After the diamond missed its reserve price at a Sotheby’s auction in June 2016, Lamb told Rapaport News in December that the miner planned to sell the piece by the end of June, but this did not occur.

The rough diamond — the second-largest ever found — was recovered in Botswana in 2015 and is valued at about $70 million, or “the equivalent of 280 Lamborghinis,” according to Lamb.

Excluding the potential sale of the Lesedi La Rona, Lucara still expects revenues of $200 million to $220 million for the year, the CEO added.
Tags: Lesedi La Rona, lucara, Lucara Diamond, Rapaport News, Rough Diamonds
Similar Articles
De Beers 600De Beers Buys Peregrine Diamonds for $81M
Jul 19, 2018
De Beers’ Canada business has agreed to acquire exploration company Peregrine Diamonds, which owns the promising
Comments: (0)  Add comment Add Comment
Arrange Comments Last to First
© Copyright 1978-2018 by Martin Rapaport. All rights reserved. Index®, RapNet®, Rapaport®, PriceGrid™, Diamonds.Net™, and JNS®; are TradeMarks of Martin Rapaport.
While the information presented is from sources we believe reliable, we do not guarantee the accuracy or validity of any information presented by Rapaport or the views expressed by users of our internet service.