Merlin Diamonds has uncovered a blue diamond from its Merlin diamond operations in the Northern Territory during the ramp up phase of its operations that are currently underway.
Blue diamonds are one of the rarest diamond colours and high quality blue diamonds are known to command prices higher than pink diamonds.
“Although only a small diamond at 0.124 carts it does demonstrate the potential for valuable coloured diamonds at Merlin and is believed to be the first blue diamond produced at Merlin,” the company told the ASX.
The Merlin Diamond Project is located some 100 km south of the settlement of Borroloola.
Merlin Diamonds acquired the project from Rio Tinto in 2004. In 2012, part of the latest parcel has been sold on international markets generating proceeds of US$1.865 million.
The Merlin diamond mine undertook pilot production in 2013. The Company is also pursuing a number of high priority exploration targets within the tenement holding surrounding the Merlin Diamond Project.