Merlin Diamonds recovers two large white diamonds, secures funding
11:12 31 Aug 2018
The stones have been recovered from the Ector pit where ore processing is ongoing.
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The company has also secured $2 million in funding subject to shareholder approval
Merlin Diamonds Ltd (
ASX:MED) has recovered two high-quality white diamonds weighing 18.4-carats and 9.5-carats from its Merlin diamond mine in the Northern Territory.
The two stones were recovered from freshly mined ore from the Ector pit where the processing of 60,000 tonnes of ore is ongoing.
Additional large white diamonds are anticipated to be recovered from the Ector pit.
READ: Merlin Diamonds receives Speculative Buy recommendation
The Excalibur pit has been dewatered and mining of the high-grade pit is expected to commence in September 2018.
Merlin expects to report more diamond recoveries as ore processing continues.
READ: Merlin Diamonds to double diamond output with new processing equipment
Merlin is also in the process of installing a new scrubber, which will more than double processing capacity to 100 tonnes per hour once installed.
Increased processing capacity will naturally increase diamond recoveries.
The scrubber arrives in the near future with commissioning shortly thereafter.
Funding secured for Merlin mining
Merlin has also entered into a $2 million note facility with Cuart Investments Limited to provide funding for its Merlin diamond mine.
The facility lasts for 12 months and can be drawn down in three tranches.
It will be put to shareholders for approval at a general meeting within 60 days.
