27-4-2020
Gem Diamonds announced the Lesotho government has permitted the re-opening of its Letšeng mine on 27 April, despite general lockdown in the country have been extended until 5 May.
To date, there have been positive case of COVID-19 reported in Lesotho. The company has prepared “a phased ramp-up plan which is compliant with health and safety protocols formulated by health experts for the prevention of Covid-19 disease” for the reopening.
Last week, Gem diamonds reported a revenue of US$47.3 million for Q1 ended 31 March. “This has confirmed that the group’s cash on hand, together with its available facilities, flexible tender sale process and implemented cost-cutting measures are sufficient to withstand the lockdown period and the anticipated ramp-up to full production,” the miner commented. Salary reductions for management levels have been introduced to further assist with the cash flows during such hard times.