Gold brings stability, acts as insurance, and generates higher risk-adjusted returns especially in times of heightened uncertainty

Somasundaram PR (Som) joined the World Gold Council in January 2013, as Managing Director, India. Based in Mumbai, Som is responsible for leading the World Gold Council's activities across the Indian gold market. Som has over 27 years of...

12 april 2021

Flun Gumerov - “I think that a diamond is a unique gift from nature. A synthetic diamond is a man-made imitation of the gift of nature”

Flun Gumerov, Chairman of the Council of the “Jewellers Guild of Russia” Association and the founder of Almaz-Holding, told Rough&Polished about what is new in the legislation relating to the jewellery production and trade, about the sentiments at the...

05 april 2021

Lucapa narrows kimberlites search

Lucapa Diamond and its Lulo partners have been for close to a decade searching for the kimberlite source or sources of alluvial diamonds being recovered from within the Lulo diamond concession, in Angola. The company believes that the frequent recovery...

29 march 2021

Shashikant D Shah: “Mined diamonds and LGDs are separate categories”

Armed with a commerce degree, Shashikant D Shah entered the diamond trade by opening a diamond Jewellery Showroom exclusively for Nakshatra and Asmi brands in 2003 and has not looked back since. DM Gems came into being in 2003 with Shashikant as Founder/Owner...

22 march 2021

Andre Messika: “The natural diamond industry today is one of the most transparent, regulated, and ethical industries in the world”

Andre Messika, a Paris-based topnotch distributor of polished diamonds migrated to Israel in 2003, to establish Andre Messika Diamonds in the Israel Diamond Exchange in Ramat Gan …and has not looked back since. In 2012, in recognition of the continuous...

15 march 2021

Lucara extends HB supply agreement

08 april 2021
Lucara Diamond has entered into a 24-month extension of its definitive supply agreement with HB Antwerp of all diamonds produced more than 10.8 carats in size from its wholly-owned Karowe diamond mine in Botswana. 
Under the terms of this novel supply agreement with HB, extended to December 2022, the purchase price paid for each +10.8 carat rough diamond is based on the estimated polished outcome, determined through the state of the art scanning and planning technology, with a true-up paid on actual achieved polished sales thereafter, less a fee and the cost of manufacturing.  
"The decision to sell our +10.8 carat rough diamonds under a committed supply agreement with HB beginning in July of 2020 has helped support prices for this critical segment of our production amidst pricing uncertainty caused by the ongoing global pandemic," said Lucara chief executive Eira Thomas.
"Not only have rough diamond prices experienced a positive re-bound over the past two quarters, [but] Lucara is also beginning to see the benefits of this strategy in accessing a broader marketplace and delivering regular cash flow based on final polished sales."
She said these early results warrant an extension of the arrangement for at least 24 months to determine if superior pricing and market stability for their large, high-value diamonds can be sustained long term.
Large, high-value diamonds over 10.8 carats in size account for approximately 70% of Lucara's annual revenues. 
Lucara made a deliberate decision not to tender any of its +10.8 carat inventory after early March 2020 amidst the uncertainty caused by the global crisis.

Mathew Nyaungwa, Editor in Chief of the African Bureau, Rough&Polished