AMN - LESOTHO: Lucapa progresses Mothae acquisition

The acquisition by Lucapa Diamond Co of a 70% interest in Mothae Diamonds (Pty) Ltd (MDL) is progressing. MDL holds the mining licence and other assets related to the advanced Mothae kimberlite diamond project in Lesotho.

Lucapa has signed the necessary agreements relating to the acquisition with the Government of the Kingdom of Lesotho (GOL).

Lucapa has been registered as a 70% shareholder in MDL and has appointed its representatives to the Board - Lucapa Managing Director Stephen Wetherall, Chairman Miles Kennedy and Chief Operating Officer Nick Selby. In addition, Lucapa has appointed Keith Whitelock and Jan Venter to the MDL Board. Whitelock is a former Chief Executive of Letseng Diamonds and both he and Venter have significant experience in diamond mine development in Lesotho.

The registration of Lucapa’s 70% shareholding in MDL and appointments to the MDL Board follow the issuance to MDL of a new 10-year mining licence for Mothae. With these conditions precedent met, Lucapa has paid the first $400,000 payment to the government for its 70% interest in MDL.

Lucapa has engaged independent consultants to convert the Canadian NI 43-101 Mothae diamond resource to JORC 2012 compliant standards and this work is expected to be completed shortly.

On March 24, Lucapa announced a maiden JORC classified diamond resource estimate for Mothae of +1 Mct valued at $1063/ct.

www.lucapa.com.au

News courtesy of International Mining