Lucara Diamond Corp T.LUC

The end

[divime1]

 of another Eira Thomas bright idea .

LUCARA DIAMOND CORP. ANNOUNCES TERMINATION OF DIAMOND SALES AGREEMENT

Canada NewsWire

VANCOUVER, BC, Sept. 27, 2023

VANCOUVER, BC, Sept. 27, 2023 /CNW/ - (TSX: LUC), (BSE: LUC), (Nasdaq Stockholm: LUC) Please view PDF version

Lucara Diamond Corp. ("Lucara" or the "Company") announces the termination of the Diamond Sales Agreement between Lucara, Lucara Botswana (Proprietary) Limited and HB Trading BV ("HB").  Lucara exercised its right to terminate the agreement following a material breach of financial commitments by HB. Lucara will continue to use its established mechanisms to sell Karowe's rough diamond production, namely through its Clara diamond sales platform, traditional tenders and other value-added mechanisms for stones. 

William Lamb, CEO stated, "The Lucara production profile is unique in the diamond industry and the Company will continue to look at innovative sales mechanisms to maximize the value of our rough diamonds."

On behalf of the Board,
William Lamb
President and Chief Executive Officer

[nyoni]

I suppose that explains a lot of the goings-on lately. It will be interesting to see now whether the Bots govt purchase of 24% of HB goes to completion.

[nyoni]

Here's a reminder:- https://www.miningweekly.com/article/hb-antwerp-co-founders-clash-over-gem-traders-future-as-botswana-deal-looms-2023-09-12

[KingFox]

some serious   nothing worse than being involved in a game, and I have no idea of the rules or players. Probably too late to bale, hopefully I'm standing with the Lundin's.  Would be nice to see an exceptional auction and get some transparency in the numbers. 

[Gerrywerry]

What was the financial breach ?

[AndersS]

I guess that they have not paid Lucara on time. And HB likely have diamonds for a lot of millions now then which has not be paid. I think Lucara ships their +10.8 ct stones to HB every second week or so and HB has 90 days to pay (initial upfront) for them after they have analyzed the stones. This could be a large problem given the issues with the bank consortium. But on the positve side, it

[Gerrywerry]

Hb. Becoming a competitor to Clara instead of going in to a partnership with Clara wouldn't have done much for the relationship with lucara