LONDON (Alliance News) - Paragon Diamonds Ltd Wednesday reported a narrowed loss for the first half of 2015, as it worked to acquire the Mothae kimberlite mine in Lesotho.
The Lesotho, Africa, focused diamond development company reported a pretax loss of GBP482,000, narrowed from a pretax loss of GBP533,000, as a result of lower administrative costs. It did not report revenue in either period.
During the half year the company it signed a memorandum of understanding to acquire the Mothae mine from Lucara Diamond Corp, and the deal was formally approved following the half year end. It is aiming for first production at Mothae six months after the completion of the acquisition, followed by first production at its existing project, the Lemphane kimberlite pipe project, in the first half of 2016.
It is targeting combined revenues of around USD36 million during the first full year of production from both assets.
Shares in Paragon were down 0.9% at 4.81 pence Wednesday afternoon.
By Hana Stewart-Smith; hanassmith@alliancenews.com; @HanaSSAllNews
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