20 April 2020
Mountain Province Diamonds Inc. today announces production and sales results for the first quarter ended March 31, 2020 from the Gahcho Kué Diamond Mine ("GK Mine"). All figures are expressed in Canadian dollars unless otherwise noted.
The company also reports that it has drawn US$25 million from its revolving credit facility amid the uncertainty surrounding the COVID-19 pandemic. As reported previously in the press release dated March 17, 2020, the company's formal sales in Antwerp have been suspended until further notice as a result of the global lock down of nonessential services. In addition, and at the present time, the Gahcho Kué Mine and Plant continue to operate albeit the virus has impacted operations and performance due to a decision to send home employees and contractors from remote Northwest Territories communities and those at higher risk of serious complications from COVID-19. The site has implemented numerous precautionary measures over the past few weeks to ensure, as far as possible, a safe working environment for all employees and contractors travelling to and from site as well as at the support offices in Yellowknife, Calgary, and Toronto. As such, the drawn funds will be used for general operating expenses.
The company, along with its JV Partner, De Beers Canada Inc. are reviewing all capital and exploration expenses and will be halting most long-term and noncore projects during this time. The JV partners are also assessing all possible operating scenarios and potential impacts on 2020 production outlook and will provide further details to the market accordingly.
Q1 Highlights
(all figures reported on a 100% basis unless otherwise stated)
•9,356,785 total tonnes mined, a 2% decrease on comparable period (Q1 2019: 9,528,018).
•1,029,579 ore tonnes mined, a 70% increase on comparable period (Q1 2019: 605,027).
•902,506 ore tonnes treated, a 4% increase on comparable period (Q1 2019: 870,949).
•1,655,121 carats recovered at an average grade of 1.83 carats per tonne, 4% higher than comparable quarter (Q1 2019: 1,584,552 carats at 1.82).