Diamonds: a new store of wealth “The popularity of diamonds in jewelry has never waned, but recently there has been resurgence of interest in diamonds as an investment vehicle,” stated William Lamb, President and CEO of Lucara Diamond, in an exclusive interview. “Particularly in Asia, Asia Pacific and the Arabian Peninsula, diamonds are purchased as a new store of wealth.” snip
On May 9, Lucara announced the sale of an 812.77 carat diamond, names The Constellation, for $63.1 million USD. Although potentially not as high yielding as the Lesedi La Rona, the sale of this diamond for $77,649 USD per carat sets the benchmark for the auction of the 1,109 carat gem at Sotheby’s on June 29.
In 2015, the Karowe mine produced 727 stones greater than 10.8 carats, with an average stone size of 36.7 carats/stone. There were 47 diamonds larger than 100 carats, including 20 larger than 200 carats, of which 7 were larger than 300 carats. It is estimated that Lucara recovers more than 50% of the world’s diamonds over 100 carats.
“Our mine in Botswana is producing such rare high quality stones, that we are creating an alternative market,” stated Lamb. “These stones will not be on wedding rings. They will be in private rooms, owned by technology, manufacturing or petroleum barons.”
The Karowe mine has three distinct kimberlite lobes. When Lucara began original production, no diamond cutter had even seen gems from this deposit. Consequently, the stones were discounted 15%. As stones were sold into the market, and confirmed to be high quality, the discount evaporated and the prices per carat increased.
https://www.bnn.ca/Sponsored-News/2016/5/17/Diamonds-a-new-store-of-wealth-.aspx