Kazera Global makes 'significant progress' with diamond asset

(Sharecast News) - Investment company Kazera Global reported "considerable progress" at its diamond asset on Tuesday, with more than 220 carats being sorted in the last month, with a mining grade of 10 carats per 100 tons, in line with its internal forecasts


The AIM-traded firm said a new block had been opened at the asset, with initial results indicating an average mining grade of 20 carats per 100 tons.

It also said it had entered into a joint venture with a third party, which had the right to mine a further block in the area, on a revenue sharing basis.

Delays caused by the Covid-19 pandemic around the issue of the company's mining permit and prospecting licence at its heavy mineral sands project appeared to have cleared, the board added.

It also said it had made regulatory progress on the proposed equity investment in the company.

"It is very positive news to be able to report that diamond production in South Africa is now approaching levels where the diamond operation is self-funding and will soon be able to contribute to the overall costs of the group," said Dennis Edmonds, Kazera's executive director in charge of the South African projects.

"As soon as we are able to start mining Heavy Mineral Sands we anticipate generating substantial profits which will enable us to fund future development, both in South Africa and Namibia."

At 1210 GMT, shares in Kazera Global were flat at 1.4p.