Safdico is a subsidiary of
Safdico, as a Preferred Buyer, can purchase up to 60% of Lulo's annual alluvial rough production from SML (Lucapa 40% and operator), as is permitted under
The Lulo diamonds purchased by Safdico are placed into the cutting & polishing partnership. Once procurement and manufacturing costs are deducted, the profits generated beyond the mine gate from the sale of the resultant polished diamonds are shared equally between SML and Safdico.
To date, Safdico has purchased 4,900 carats of run of mine rough diamonds from SML under this commercial partnership. SML is due its first share of the partnership profits from Safdico this quarter (Q1 2020). This new Lulo revenue stream represents another key milestone for Lucapa's value-adding strategy.
The new revenues streams come as SML completes a self-funded
ABOUT LUCAPA
Lucapa is a growing diamond company with high-value mines in
The new 1.1 Mtpa Mothae kimberlite mine in diamond-rich
Forward Looking Statements
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