Gem Diamonds Technology

Gem Diamonds acquired Calibrated Diamonds in September 2008 from Petra Diamonds for US$5.9 million. The acquisition took place after trials had been conducted to test Calibrated Diamonds’ high technology process on Ellendale diamonds. The process uses laser cutting computer software to manufacture perfectly symmetrical polished diamonds with minimal manual polishing that produces hearts and arrows round brilliant diamonds.

Gem Diamonds’ strategic intent remains to be one of the world’s leading diamond companies with a specific focus towards higher value gem quality diamonds. Principally through Letšeng and Ellendale, the Group has moved a long way to implementing that strategy in the rough diamond market.

Over the medium to long term, this strategy will be pursued in the polished diamond market with the development of the Group’s cutting and polishing business to beneficiate only high end quality diamonds.

Due to the market conditions at the end of 2008, the Group decided in early 2009 to delay the roll out of these cutting and polishing facilities. However, the Group may further develop these facilities in the future as and when market conditions allow.