Newfield Resources will start construction at the Tongo mine in Sierra Leone in the coming weeks, after its board approved final funding for the project. The first diamond production from the mine is expected 12 months after underground blasting begins, the company said last week.
“We are delighted to have agreed a funding package that allows us to commence construction of the company’s flagship Tongo Diamond Mine Development,” said executive director Karl Smithson. “We will now move to commence development activities at Tongo following the positive final investment decision made by the Newfield board.”
Newfield reached agreements to issue two unsecured bonds worth a total of $30.5 million, which will be used to finance the development. The Tongo mine has an estimated resource of 7.4 million carats and an initial life of eight years, according to the company website.
Image: Diamond exports from bulk sampling at the Tongo project. (Newfield Resources)