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Renard achieves full underground capacity

Quebec’s only diamond producer Stornoway Diamond Corp (TSX:SWY) has achieved full underground production capacity of more than 6,000 tonnes per day (tpd) at its Renard mine.
Renard achieves full underground capacity Renard achieves full underground capacity Renard achieves full underground capacity Renard achieves full underground capacity Renard achieves full underground capacity

Renard has achieved full underground production capacity

The ore mucked and trucked to surface averaged 6,039tpd over a 20-day period ending August 29.

The Longueuil-based company says ore is now being sourced from 16 active draw-points developed on four mining panels at the 290m level of the Renard 2 kimberlite. Ore processing during this period averaged 7,085tpd, with underground feed supplemented with ore derived from the Renard 65 openpit, as planned.

"Completion of the underground mine ramp-up at Renard has not been without its challenges. The assisted block cave is developing well and, as expected, the grade of diamond recoveries has increased as we have moved from the initial mining panel at the margin of Renard 2 into the panels closer to the centre of the ore body. Mining and processing for the remainder of the year will be focused on ore mucked from these higher quality panels," president and CEO Matt Manson said.

Stornoway also says it is engaging its lenders and key stakeholders to gain greater financial flexibility in its operations as it works toward achieving free cash flow at Renard.

The equity is down 54% over the past 12 months, losing another 1.43% on Tuesday to close at C34.5c a share and giving the company a market value of C$288.44 million.