Diamcor Mining returned to profit in the second fiscal quarter, as an efficiency program helped it reduce costs.
The miner recorded a net profit of $350,676 for the three months ending September 30, versus a loss of $417,368 during the same period a year ago, it said last week. The company shaved its expenses by reducing its usage of heavy equipment and fuel, it explained.
Rough-diamond sales fell 22% year on year to $569,059 for the July-to-September period, as the company produced a higher proportion of smaller, lower-quality stones. It also held one fewer tender than during the same period a year ago. Diamcor primarily processed tailings — the ore remaining after the first round of processing — and previously stockpiled material, as it optimized its ore-retrieval process.
The company sold 3,883 carats of rough from its Krone-Endora at Venetia project in South Africa at an average price of $146 per carat.
Diamcor expects its lowered operating expenses to continue into the third fiscal quarter ending December 31, it said.
Image: Fingers holding a rough diamond. (Diamcor Mining)