CollectionsOct 10, 2025
Count Down to the Holidays With Astrid & Miyu’s Advent CalendarsThe trio of Advent calendars include a version with 18-karat gold and lab-grown diamond jewelry in a red lacquer jewelry box.
SourcingMar 17, 2015
Gem Diamonds revenue up 27 percent in 2014
After a year that saw mostly strong prices for both rough and polished diamonds at tender for the miner, Gem Diamonds’ revenue for the fiscal full year ended Dec. 31 hit $270.9 million.
This Type II, D color, 198-carat rough diamond from the Letšeng mine sold for $10.6 million in September. The strength of diamond prices last year helped Gem Diamonds’ full-year revenue grow 27 percent.
London--After a year that saw mostly strong prices for both rough and polished diamonds at tender for the miner, Gem Diamonds’ revenue for the fiscal full year ended Dec. 31 hit $270.9 million.
Revenue for the company’s full year 2014 was up 27 percent on the strength of the prices from the Letšeng diamond mine in the Kingdom of Lesotho and it’s notable number of 20-plus-carat finds, while operating profit also increased 53 percent to $92.7 million.
Cash on hand at the end of the year was $110.7 million.
A total of 108,569 carats were recovered from the Letšeng mine in 2014, among them the highest number of diamonds greater than 20 carats produced in a single year since Gem Diamonds acquired the mine in 2006. This included seven diamonds that were greater than 100 carats each, five of which sold for a total of $37.4 million and made up approximately 14 percent the mine’s total revenue.
The largest recovered during the year was a 299.3-carat yellow diamond, which was sold into a partnership at the beginning of 2015 and will give Letšeng a 50 percent benefit from its polished sale.
Letšeng achieved an average of $2,540 per carat in 2014, up 24 percent from the per-carat average in the prior year.
Last year, Gem Diamonds initiated a number of projects to drive growth and innovation at Letšeng, including the installation of the new Coarse Recovery Plant to improve diamond recovery. It remains on track to be completed by the second quarter of 2015.
Gem Diamonds also implemented the Plant 2 Phase 1 upgrade project in the third quarter of 2014, expected to result in an increased treatment capacity of 250,000 tons per year and a reduction in diamond damage. It’s slated for completion in early 2015 as well.
These two projects will position the mine as a long-life open pit, the company said.
Gem Diamonds also brought its Ghaghoo mine in Botswana--its first underground diamond mine--into production, reporting in its annual results that the first diamonds produced there have been of better quality and average size than the stones initially recovered during the exploration phase.
After opening the Ghaghoo mine in September, the company now is developing the mine in phases, the first of which is aimed at confirming diamonds grades and prices as well as testing the different mining techniques. Production will be increased
as appropriate in the next phases, Gem Diamonds said.
So far in the first phase, 48,023 tons of ore have been treated with 10,167 carats recovered, including a 20- and 17-carat white diamond. The company also has confirmed the mine as a source of rare colored diamonds, with three orange diamonds recovered.
A production rate of about 60,000 tons per month is expected to be achieved by mid-2015.
Gem Diamonds said it saw both rough and polished diamond prices stand firm over the first three quarters of the year before declining a bit in the fourth quarter, due in part to concerns over bank lending and liquidity.
Despite that weakening at the end of the year, Gem Diamonds said it expects some firming in the market this year as banks start to fill the funding gaps that created these concerns in the first place.
“We successfully delivered on a number of key growth objectives including bringing Ghaghoo into production, significantly enhancing operational efficiencies at Letšeng and delivering a maiden dividend,” CEO Clifford Elphick said. “As we expand from a single producing mine to two producing mines, with the ramp up of production at Ghaghoo, we will start to see a significant shift in production figures.”
More on Sourcing
The Latest
CollectionsOct 10, 2025
Piece of the Week: Marla Aaron’s ‘Nymphenburg Lock’Created in collaboration with Nymphenburg Porcelain, the lock is part of a four-piece collection that took two years to bring to fruition.
MajorsOct 10, 2025
Frederick Goldman Names New VP of SalesJewelry industry veteran Alisa Bunger has taken on the role.
Brought to you by
JA New York Fall Is Right Around the CornerThe upcoming show provides savvy retailers with the opportunity to stock their cases with best sellers in advance of the holiday season.
AuctionsOct 09, 2025
This Fabergé Egg Could Crack $27M At Auction“The Winter Egg” set the world auction record for a Fabergé piece twice at previous Christie’s sales.
Weekly QuizOct 09, 2025
This Week’s QuizTest your jewelry news knowledge by answering these questions.
MajorsOct 09, 2025
Sy Kessler Buying Watch Batteries as Silver Hits Record High The company will pay 1.5x silver’s current spot price for each pound of silver oxide batteries submitted.
CollectionsOct 09, 2025
Katkim Launches First Men’s CollectionThe line includes a “Shadow” series crafted exclusively for the new men’s offering and reimagined styles from the brand’s core collections.
SourcingOct 08, 2025
In ‘Storied Diamond,’ Jared Jewelers Is Emphasizing the Journey The retailer’s new collection of engagement rings and fashion jewelry is set with natural diamonds that are traceable via blockchain.
CollectionsOct 08, 2025
Emily P. Wheeler Shifts Into Neutral for Latest ‘Ombré’ CollectionThe champagne colorway in her newest “Ombré” collection combines white and trendy brown diamonds, a departure from her usual vibrant hues.
CollectionsOct 08, 2025
Tsuba Designs Inspire Monica Rich Kosann’s New CharmsKosann partnered with the Museum of Fine Arts, Boston, to create a set of necklaces inspired by the artwork on samurai sword handguards.
CrimeOct 07, 2025
Men Who Posed as Utility Workers Found Guilty in Jeweler’s MurderCarlos Jose Hernandez and Joshua Zuazo face life in prison for the October 2024 murder of 72-year-old Detroit-area jeweler Hussein Murray.
CollectionsOct 07, 2025
Jessica McCormack Looks to Sea Spirits for ‘Tempest’ CollectionThe brand’s first high jewelry collection, “Tempest” plays with movement while calling to mind the folklore of the sea.
SourcingOct 07, 2025
Columbia Gem House Announces ‘Opals for Outback Heroes’ FundraiserProceeds from its jewelry raffle will go to a volunteer-run fire and rescue group in the Lightning Ridge area of New South Wales, Australia.
MajorsOct 07, 2025
Stuller Names Its S.E.R.V.E Stars for 2025Stuller said the recipients embody the company’s core values, which include community participation and personal and professional growth.
WatchesOct 06, 2025
This Fall, Citizen’s Forecast Calls for RainCitizen’s new “Rainell” women’s watch has a raindrop-shaped case and is available with a silver-, gold-, purple-, or green-colored dial.
AuctionsOct 06, 2025
The ‘Rolex That Made Rolex’ Heads to Auction at Sotheby’s The “Mercedes Gleitze Rolex Oyster,” named for the British endurance swimmer who made it famous, will go up for sale next month.
GradingOct 06, 2025
GIA India Names Former De Beers Exec as New Managing DirectorAmit Pratihari was previously the managing director of De Beers India and Forevermark India.
SourcingOct 06, 2025
SoCal 24 Karat Club Integrates Into Diamond Club West CoastMembers of the Jewelers 24 Karat Club of Southern California will gain access to expanded services, resources, and connections, DCWC said.
TrendsOct 03, 2025
Selena Gomez, Benny Blanco Tie the Knot Wearing Diamonds, White MetalsGomez’s jewelry included Tiffany & Co. drop-style earrings while Blanco stacked diamonds from Jacob & Co. on his wrist.
GradingOct 03, 2025
Grading Lab HRD Antwerp Names New CEODiamond industry banking veteran Paul De Wachter will take on the role in January 2026.
TrendsOct 03, 2025
Piece of the Week: Kallati’s Pink Sapphire RingTaylor Swift flaunts an Elizabeth Taylor-esque gemstone in promo for her new album, “The Life of a Showgirl.”
CollectionsOct 02, 2025
Boucheron Debuts Cuffs Crafted With 3D-Printed SandIts “Quantre Sand” capsule was made using a 3D sand printing technique borrowed from the automotive and aeronautics industries.
CrimeOct 02, 2025
$1M in Jewelry Stolen in Northern California Smash and Grab Four individuals have been charged in the “takeover-style” robbery of Heller Jewelers last month, and additional charges are expected.
MajorsOct 02, 2025
Neil Lane Jewelry Exhibition Coming to Toledo Museum of Art“Radiance and Reverie” will showcase more than 150 jewels from Lane’s personal collection by Tiffany & Co., Cartier, and more.
TrendsOct 02, 2025
Amanda’s Style File: October’s Colorful ShowThe month’s birthstones, tourmaline and opal, complement the palette of autumn.
ColumnistsOct 01, 2025
Peter Smith: Why Vendor Success Starts With Self-ReflectionSmith shares the importance of looking at your company with openness and honesty to identify opportunities you may be missing.
