What better way to add luster to your mining shares than to unearth the world’s second biggest diamond?
Shares in Lucara soared 35% after it unveiled a stone of 1,111 carats — which it says is the biggest gem quality diamond found in more than 100 years.
“The significance of the recovery of a gem quality stone larger than 1,000 carats, the largest for more than a century and the continued recovery of high quality stones…cannot be overstated,” said CEO William Lamb in a statement.
The discovery has transformed the Canadian company’s fortunes. The stock, which is listed in both Stockholm and Toronto, had lost 26% so far this year.
Lucara says the diamond was found in its Karowe mine in the southern African nation of Botswana, which has been up and running since 2012.
The company also said it had uncovered two “exceptional” white diamonds, estimated at 813 carats and 374 carats, at the same mine.
“I am truly at a loss for words. This has been an amazing week for Lucara,” Lamb said.
The largest gem quality diamond was the 3,106 carat “Cullinan Diamond” found in South Africa in 1905. From that was cut the “First Star of Africa” which now adorns the Royal Scepter — one of the British crown jewels now on display at the Tower of London.