Rockwell Diamonds sells off Klipdam mine in South Africa

Rockwell Diamonds Inc. (TSX: RDI; JSE: RDI) sold its South African Klipdam mine for about $5.2 million.

The company said the deal was signed with a private alluvial diamond miner. Although the bid was unsolicited, it decided to sell because the mine has a remaining life of two years, based on current resources.

Rockwell plans to invest the proceeds into its Niewejaarskraal mine, which is in the Herbert district of the Northern Cape province, that it plans to take out of care and maintenance.

Its flagship project — the Saxendrift diamond alluvial mine — is in the same area.

Image courtesy Rockwell Diamonds