22 Jan 2025

Lucara Diamond is optimistic of the resurgence of the global diamond industry’s prolonged market slump.

Speaking during an interview on the sidelines of First Lady Kaone Boko’s tour of Lucara facilities in Gaborone today, the company’s chief executive officer, Mr William Lamb said despite ongoing challenges in the global diamond market, recent trends reflected resilience and strategic adjustments, which was testament of the sector’s eagerness for recovery.

However, he cautioned that the influx of synthetic diamonds in the American market had delayed the recovery of the natural diamond prices, adding that the natural diamonds would nonetheless in the long run prove its value.

As Lucara continues to leverage high-value diamonds and strategic planning owing to the discovery of huge historic gems from the Karowe Mine, Mr Lamb stated that Lucara remained hopeful for sustained market improvements as the year progressed.

“Botswana has the best diamonds in the world and the benefits that both Lucara and Botswana gains from the diamonds is seen by all. Therefore an improvement in the diamond market would be beneficial to both parties,” he said.

Additionally, Mr Lamb highlighted that the third quarter of 2024, proved to be transformative for Lucara, marked by two extraordinary discoveries that underscored the  company’s preeminent position in the exceptional stone segment of the diamond industry.

“The recovery of an unprecedented 2 488-carat diamond, followed by the discovery of a remarkable 1 094-carat stone, not only demonstrates the exceptional quality of our Karowe asset but also validates our technical expertise and innovative mining approaches,” he said.

These historic recoveries, he said reflected the culmination of Lucara’s unwavering commitment to operational excellence and industry-leading safety standards.

“Our open pit operations continue to deliver consistent results, while the underground expansion project has achieved significant milestones, particularly in shaft sinking activities during the quarter. This progress is testament to our team’s technical proficiency and dedication to executing complex mining projects,” he said.

Mr Lamb indicated that Lucara remained robust with its intent to strategically positioning itself in the diamond sector citing that the ongoing development of the Karowe underground project represented a pivotal investment in the future, which was designed to extend mine life and maintain exceptional stone production profile.

“As we progress through this transformative period, we remain focused on executing our strategic objectives while maintaining our position as an industry leader in the recovery and marketing of exceptional diamonds,” he said.

Karowe’s large, high value diamonds have historically accounted for approximately 60  to 70 per cent of Lucara’s annual revenues.  ENDS