CollectionsJun 30, 2025
State Property’s New Jewelry Tells ‘The Story of Everything’Co-founders Afzal Imram and Lin Ruiyin brought their son’s story of a cosmic egg, toadstool, and railroad to life in their new collection.
SourcingJul 21, 2020
Diamond Mine in Lesotho Closed for Foreseeable Future
Firestone Diamonds’ Liqhobong mine is on extended care and maintenance until at least April 2021.
The sun sets at Firestone Diamonds’ Liqhobong Diamond Mine in Lesotho. The mine went on extended care and maintenance in early April due to the global spread of COVID-19 and will remain closed until at least April 2021. (Photo courtesy of Firestone Diamonds)
London—One of the diamond mines in Lesotho known for producing large, valuable stones will remain shuttered until next spring, at least.
Firestone Diamonds Plc said Monday the Liqhobong Diamond Mine, which it operates in a 75-25 joint venture with the government of the Kingdom of Lesotho, has been on care and maintenance since April 9 due to COVID-19.
The mine will remain closed, with the majority of employees laid off, for at least 12 months as the company scrambles to save money in light of the uncertainty surrounding both diamond sales and prices.
“The company has gone through a painful process to implement the care and maintenance phase, which we believe is in the best interest of its shareholders and lenders,” CEO Paul Bosma said in the company’s quarterly report.
“We are determined to make our cash last as long as possible so operations can resume once the market recovers for the categories of diamonds predominantly recovered from Liqhobong.”
With the mine temporarily closed, the miner will focus on securing a capital deferral from its lender, ABSA bank, and working with its main shareholders and bondholders.
Firestone ended its fiscal year with a cash balance of $9.6 million, down from $17.3 million in Q3.
Closing the mine cost it $3.2 million, including termination costs of $1.9 million.
For those employees who remain, the company, which was looking for ways to cut costs even before COVID-19 hit, is reducing staff salaries by 25 percent, executive salaries by 40 percent and non-executive director salaries by half.
Firestone did not sell any diamonds in its fourth quarter.
The miner said it has 64,700 carats on hand, which it will sell in separate parcels to test the market and determine if it can achieve prices that make reopening the mine worthwhile.
It expects to sell the first parcel in calendar Q4 2020, though Firestone noted the global market outlook remains “uncertain,” as many countries still have to reach their COVID-19 infection peak and face the possibility of a second wave of infections.
The United States leads the world in both the number of coronavirus cases (3.4 million) and deaths (nearly 140,000, according to the latest data from the World Health Organization). Second is Brazil with 2.1 million cases and about 78,000 deaths.
In the U.S., cases are spiking in a number of states including Georgia, Florida, California, Texas and Arizona.
Firestone also noted: “De Beers and Alrosa continue to defer sales , which contribute to a buildup of inventory, which will delay the timing of a meaningful recovery in prices. Smaller producers that manage to sell on tender will likely continue to experience substantial discounts until such time as demand returns and excess inventory has reduced.”
Firestone Diamonds Plc said Monday the Liqhobong Diamond Mine, which it operates in a 75-25 joint venture with the government of the Kingdom of Lesotho, has been on care and maintenance since April 9 due to COVID-19.
The mine will remain closed, with the majority of employees laid off, for at least 12 months as the company scrambles to save money in light of the uncertainty surrounding both diamond sales and prices.
“The company has gone through a painful process to implement the care and maintenance phase, which we believe is in the best interest of its shareholders and lenders,” CEO Paul Bosma said in the company’s quarterly report.
“We are determined to make our cash last as long as possible so operations can resume once the market recovers for the categories of diamonds predominantly recovered from Liqhobong.”
With the mine temporarily closed, the miner will focus on securing a capital deferral from its lender, ABSA bank, and working with its main shareholders and bondholders.
Firestone ended its fiscal year with a cash balance of $9.6 million, down from $17.3 million in Q3.
Closing the mine cost it $3.2 million, including termination costs of $1.9 million.
For those employees who remain, the company, which was looking for ways to cut costs even before COVID-19 hit, is reducing staff salaries by 25 percent, executive salaries by 40 percent and non-executive director salaries by half.
Firestone did not sell any diamonds in its fourth quarter.
The miner said it has 64,700 carats on hand, which it will sell in separate parcels to test the market and determine if it can achieve prices that make reopening the mine worthwhile.
It expects to sell the first parcel in calendar Q4 2020, though Firestone noted the global market outlook remains “uncertain,” as many countries still have to reach their COVID-19 infection peak and face the possibility of a second wave of infections.
The United States leads the world in both the number of coronavirus cases (3.4 million) and deaths (nearly 140,000, according to the latest data from the World Health Organization). Second is Brazil with 2.1 million cases and about 78,000 deaths.
In the U.S., cases are spiking in a number of states including Georgia, Florida, California, Texas and Arizona.
Firestone also noted: “De Beers and Alrosa continue to defer sales , which contribute to a buildup of inventory, which will delay the timing of a meaningful recovery in prices. Smaller producers that manage to sell on tender will likely continue to experience substantial discounts until such time as demand returns and excess inventory has reduced.”
More on Sourcing
The Latest
ColumnistsJun 30, 2025
The Smart Lab: Why Q3 Is the Secret Weapon For Holiday Jewelry SalesThe best time to prepare for the holiday season is right now, according to columnist Emmanuel Raheb.
Events & AwardsJun 30, 2025
AGA Names Recipient of 2025 Gemological Education ScholarshipThis year’s winner is Morgan Keefe, who is currently studying at GIA to be a gemologist.
Brought to you by
Investing in the Next Generation of Bench JewelersThe Seymour & Evelyn Holtzman Bench Scholarship from Jewelers of America returns for a second year.
IndependentsJun 30, 2025
Melanie Grant’s New Book Explores 200 Years of Jewelry“The Jewelry Book” comes out this September.
Weekly QuizJun 26, 2025
This Week’s QuizTest your jewelry news knowledge by answering these questions.
TechnologyJun 27, 2025
Gemist Raises $6M in Funding to Scale Jewelry Tech PlatformThe company is focused on modernizing the custom jewelry buying experience with e-commerce tools like product visualization and 3D styling.
IndependentsJun 27, 2025
David Webb Announces New Hires, PromotionsFollowing its recent acquisition, the storied brand has updated its leadership team and regional managers.
Brought to you by
Jewelers of America is Headed to Las Vegas for JCK 2025The countdown is on for the JCK Las Vegas Show and JA is pulling out all the stops.
Events & AwardsJun 27, 2025
AGS, GIA Announce Beatrice Shipley Scholarship Winner AGS also named the recipient of its “Women in Leadership” scholarship.
CollectionsJun 27, 2025
Piece of the Week: Buddha Mama’s ‘Monstera’ Wrap RingThe 20-karat yellow gold and diamond wrap ring is modeled after the Monstera plants in the garden of the brand’s Miami villa.
MajorsJun 26, 2025
Why Rocksbox Is Opening Stores As Signet Jewelers DownsizesRocksbox President Allison Vigil shared the retailer’s expansion plans, and her thoughts on opening stores in malls.
IndependentsJun 26, 2025
Penny Ruston Dies at 80 The creator of the WJA Chicago chapter is remembered as a champion for women in the jewelry industry and a loving grandmother.
SurveysJun 26, 2025
After Recovering in May, Consumer Confidence Dips in June The decline was consistent across age groups and almost all income groups, with tariffs and inflation still top of mind.
CollectionsJun 26, 2025
Jam Out With Sorellina’s Jimi Hendrix-Inspired JewelsThe “Playlist: Electric Dreams” collection brings lyrics from the musician’s song, “Little Wing,” to life through fine jewelry.
Events & AwardsJun 26, 2025
The Jewelry Symposium Is Looking for Speakers for 2026 EventThe event is set for May 16-19 in Detroit, Michigan.
IndependentsJun 25, 2025
Marissa Collections Opens in Nantucket as Legal Fight ContinuesThe Vault’s Katherine Jetter is accusing the retailer of using info she shared for a potential partnership to move into Nantucket.
CrimeJun 25, 2025
Customs Nabs Another Big Shipment of Fake Cartier, Van Cleef JewelryAgents seized 2,193 pieces, a mix of counterfeit Cartier “Love” and “Juste Un Clou” bracelets, and Van Cleef & Arpels’ “Alhambra” design.
CollectionsJun 25, 2025
Splash into Karina Choudhrie’s Collection of Underwater Circus PerformersThe designer brought her children’s book, “The Big Splash Circus,” to life through a collection of playful fine jewelry characters.
Events & AwardsJun 25, 2025
JA Announces Impact Initiative Fund RecipientsThe trade association has chosen the recipients of the funding initiative it formed to foster the growth and sustainability of the industry.
EditorsJun 24, 2025
The Best New Jewelry from Couture 2025, Part 2Associate Editor Natalie Francisco shares 20 additional pieces that stood out to her at the Couture show.
IndependentsJun 24, 2025
Colorado Bench Jeweler Celebrates 50 Years With Local RetailerLori Tucker started at Williams Jewelers when she was 18 years old.
WatchesJun 24, 2025
Citizen’s New ‘Fantastic Four’ Watch Is Literally Super The “Marvel | Citizen Zenshin” watch is crafted in Super Titanium and has subtle nods to all four “Fantastic Four” superheroes on the dial.
MajorsJun 24, 2025
Tacori, QVC to Launch Exclusive Lab-Grown Diamond Jewelry CollectionThe “XO Tacori” collection was designed to blend luxury and accessible pricing.
GradingJun 23, 2025
GIA Names New President and CEO Pritesh Patel, the lab’s chief operating officer, will take over as president and CEO of GIA.
Recorded WebinarsJun 23, 2025
Watch: Top Trends at Couture, JCK Las Vegas 2025National Jeweler and Jewelers of America discuss the standout jewelry trends and biggest news to emerge from the shows this year.
Events & AwardsJun 23, 2025
Jose Hess Design Awards Celebrate 6 Jewelry DesignersThe winning designs captured the “Radiance” theme.
Events & AwardsJun 23, 2025
Gem Awards Now Accepting Nominations for 2026Nominations in the categories of Jewelry Design, Media Excellence, and Retail Innovation will be accepted through July 30.
