REG - BlueRock DiamondsPLC - Corporate & Operational Update & Notice of Results

Bluerock DiamondsAnnouncement

17/06/2022 14:15

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RNS Number : 3354P  BlueRock Diamonds PLC  17 June 2022

BlueRock Diamonds PLC / AIM: BRD / Sector: Natural Resources

17 June 2022

BlueRock Diamonds PLC ('BlueRock' or the 'Company')

Corporate & Operational Update & Notice of Results

 

BlueRock Diamonds PLC, the AIM listed diamond producer, announces a corporate
update in respect of the funding of its operations at its Kareevlei Diamond
Mine ('Kareevlei') in the Kimberley region of South Africa.

 

Further to its announcement of 1 June 2022, the Company has been progressing
discussions with its major shareholder, Teichmann, and alternative providers
of finance to secure additional funding for the Company as it continues to
invest in developing Kareevlei. While these funding options are progressed,
the Company's principal mining contractor, Teichmann South Africa (PTY) Ltd,
an affiliate of Teichmann Group, has agreed to KVL holding off for a short
period on certain contractual costs without prejudice to the contract terms
and this sum stands at  approximately £600,000 .  Further updates will be
provided as appropriate.

 

Operationally, the mining has benefitted from the recently improved weather.
From the second week in June, a better-balanced drier material has been
feeding the processing plant, which has had an immediate impact on processed
tonnage throughput and has enabled the plant to operate at design capacity
over several days, although grade has remained inconsistent with the continued
mine development work. Whilst this uptick in performance is pleasing, it will
not materially impact June diamond sales, with the latest tender taking place
this week reflecting poorer operational performance in May.

 

The Company expects to publish its annual results for the year ended 31
December 2021 during the week commencing 27 June 2022 and its next quarterly
production update in mid-July 2022.

 

BlueRock Executive Chairman, Mike Houston, said, "We are making steady
progress on the mining front and are now in a position where we are not
required to feed the lower-grade, poor quality stockpiled material but can use
a more consistent higher-grade feed.  This dry, higher quality feed has
enabled us to push the processing plant to the targeted capacity and with that
build confidence at running at what are significantly higher production
levels. The major focus of the operation at present is grade control in the
mine and sustaining these higher volumes through the processing plant.

 

"We are continuing to progress financing discussions and will update the
market once these have been finalised."

 

The information contained within this announcement is deemed by the Company to
constitute inside information as stipulated under the Market Abuse Regulations
(EU) No. 596/2014 as it forms part of UK domestic law by virtue of the
European Union (Withdrawal) Act 2018 ('MAR'). Upon the publication of this
announcement via Regulatory Information Service ('RIS'), this inside
information is now considered to be in the public domain.

 

**ENDS**

 

For further information, please visit BRD's
website www.bluerockdiamonds.co.uk (http://www.bluerockdiamonds.co.uk/)  or
contact:

 

 BlueRock Diamonds PLC

 Mike Houston                           m.houston@bluerockdiamonds.co.uk

 David Facey, FD                        dfacey@bluerockdiamonds.co.uk
 SP Angel (NOMAD and Broker)

 Stuart Gledhill / Caroline Rowe        Tel: +44 (0)20 3470 0470
 St Brides Partners Ltd (Financial PR)

 Isabel de Salis / Oonagh Reidy         bluerock@stbridespartners.co.uk

 

Notes to editors:

BlueRock Diamonds is an AIM-listed diamond producer which operates the
Kareevlei Diamond Mine near Kimberley in South Africa which produces diamonds
of exceptional quality and ranks in the top ten in the world in terms of
average value per carat. The Kareevlei licence area covers 3,000 hectares and
hosts five known diamondiferous kimberlite pipes with a combined inferred
resource of 10.4 million tonnes / 516,200 carats (February 2021); based on its
planned production of 1 million tonnes per annum, this provides a minimum
10-year life of mine.

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