Trustco Group Holdings Limited says its associate, Meya Mining, released a promising diamond resource estimate for the Meya River Kimberlite Dyke in Sierra Leone.
Trustco Group holds a 19.5% stake in Meya Mining. The report confirms a total kimberlite ore of 6.05 million tonnes down to a depth of 800 metres.
Trustco’s Deputy CEO Quinton van Rooyen said with an assessed in-situ grade of 33 carats per hundred tonnes, this translates to a total of 1.99 million carats valued at US$763 million (N$14.3 billion).
“The valuation includes US$104 million (N$1.95 billion) in the indicated category and US$659 million (N$12.34 billion) inferred, based on an average value of US$382 per carat,” he said.
Van Rooyen stated that this resource estimate underscores the potential of the mine, and the company looks forward to advancing this diamond resource.
“The findings from the Meya River Kimberlite Dyke are encouraging and validate our investment in Meya Mining. This assessment covers a 2.8km strike length of the Meya River Dyke, which represents less than 5% of the total combined strike lengths of the kimberlite domains within Meya Mining’s licensed Area,” he said.
Trustco highlighted that five of the largest diamonds discovered globally have come from this area.
Notably, in November 2017, the Meya Prosperity Diamond, the 29th largest diamond at the time, was unearthed at this site and subsequently sold for US$16.5 million (N$308 million).
Van Rooyen said updates on ongoing drilling and exploration within the licensed area will be provided as additional resources are proven.
The mine is expected to scale up commercial production within the current financial year.
“The resource evaluation findings will form a pivotal part of an upcoming Preliminary Economic Assessment (PEA) report, providing a comprehensive economic analysis of the Meya River Dyke’s development potential,” he said.
As of 31 August 2023, Trustco’s total investment in Meya Mining amounted to over N$2 billion (US$116 million), representing 34.1% of Trustco’s total investment portfolio at that time.
