Gem Diamonds may put S. Kalimantan mine under ?care and maintenance?
Monday, November 17 2008 - 02:40 PM WIB
London Stock Exchange-listed diamond miner Gem Diamonds may place its Cempaka mine operations in South Kalimantan under care and maintenance after financial crises caused diamond prices to fall sharply.
??.a detailed management review is taking place at the Cempaka mine, which may result in the mine being placed on care and maintenance since it is a low-margin operation,? the company said in a statement released Monday.
Gem Diamonds has 80 percent share in Cempaka alluvial diamond mine in South Kalimantan, in partnership with state-owned miner PT Aneka Tambang (Antam) which owns the remaining 20 percent.
The alluvial deposits at the Cempaka Mine consist of the Danau Seran and Cempaka paleochannels. The former was mined since the commencement of the operations in 2004 and is almost depleted. It was significantly smaller but of a higher grade than the Cempaka channel. (denny)