Lucapa Diamond Company has finalized its mineral investment contract in Angola, increasing its stake in the Lulo joint venture to 51%. The contract awaits formal approval from the Angolan Ministry. The Lulo JV focuses on kimberlite exploration, and Lucapa aims to achieve exploration success with the majority stake. The company also prepares to process samples from various sites as part of the ongoing Kimberlite bulk sampling program.
Lucapa Diamond Company, listed on the Australian Securities Exchange (ASX), has successfully finalized its mineral investment contract (MIC) for the Lulo joint venture (JV) in Angola, thus increasing its stake to 51%. The signing of this contract is pending formal agreement by the Angolan Ministry of Mineral Resources and Petroleum.
The focus of the Lulo JV is the exploration of kimberlites at the Lulo concession in Angola. The completion of the MIC will elevate Lucapa’s interest in the JV from 39% to a majority stake of 51%. This milestone was reached following a three-day meeting in Angola, during which the MIC Committee and JV partners Endiama, Rosas & Petalas, and Lucapa resolved the remaining details.
Lucapa’s managing director and CEO, Alex Kidman, expressed that securing a majority stake in the Lulo exploration JV is a significant achievement for the company. This position will enhance Lucapa’s share of any exploration success. Kidman noted that the finalization of the MIC has been eagerly anticipated by shareholders. He added, “The progress with the MIC shows Angola’s commitment to Lucapa and to Lulo, as one of the highest profile diamond projects in the country.”
At present, the Kimberlite bulk sampling program is being conducted at the Lulo concession, where a sample is being stockpiled from site L130/01. The program is also preparing to process samples from other promising locations, including L349, L137, and L130. Furthermore, in May 2024, Lucapa Diamond revealed plans to divest a 70% interest in the Mothae diamond mine located in Lesotho.
In conclusion, Lucapa Diamond Company’s recent finalization of the mineral investment contract is a pivotal development that increases its ownership stake in the Lulo joint venture to 51%. This commitment signals confidence in Angola’s diamond sector and the company’s strategic exploration efforts. As Lucapa progresses with its sampling program, it aims to capitalize on the unique diamond potential of the Lulo concession, continuing to enhance its position in the industry.
Original Source: www.mining-technology.com
