Burgundy banks more cash from diamond sales, still awaits market turnaround

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Burgundy Diamond Mines News

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CEO remains adamant diamond prices are due for a positive correction

Diamond market producer Burgundy Diamond Mines is set to bank another US$93 million from two diamond sales cycles for gems from its Ekati mine in Canada's Northwest Territories. The company sold $47 million worth of diamond at an average price of $80 per carat in an October sales process and has provisionally sold another $46 million at $106/ct in a December offering.

Truter's thoughts were echoed by US-based diamond analyst and consultant Paul Zimnisky, who said human desire had always eclipsed market fundamentals when it came to precious gems, which are desirable but not really all that practical. In this vein, Burgundy said it was progressing with mine life extension work at the Sable and Misery underground operations within Ekati, as well as the Fox underground mine.

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