Firestone Diamonds plc

Company Name: Firestone Diamonds plc
Stock Market: FTSE AIM (LSE: FDI)
Industry Sector: Mining
Market Capitalisation: £10.34 million (as of March 6, 2009)
Yearly Revenue: £3.31 million (as of June 30, 2008)
Operating Income: £3.07 million (loss as of June 30, 2008)
Net Income: £0.24 million (loss as of June 30, 2008)
Total Assets: £27.2 million (as of June 30, 2008)

Key People: James Kenny, B.A., LL.B., M.Sc. (chairman), Philip Kenny, B.E., M.B.A. (chief executive officer), Tim Wilkes, B.Sc. (chief operating officer), Jan Louw, B.E. (director of operations)

Headquarters Address: 26-28 Hammersmith Grove, London, W6 7BA, United Kingdom
Number of Employees: 109 (as of June 30, 2008)
Website Address: www.firestonediamonds.com

Company Overview

Firestone Diamonds plc or “Firestone” is a United Kingdom-based company which explores and mines diamonds. The company’s operations are located in South Africa and Botswana and are the fourth largest and the world’s largest manufacturers of diamonds, respectively. Additionally, the two countries have the lowest cost producers amongst diamond producing countries.

Firestone has a wide range of interests in Botswana, which generates annually more than 34 million carats worth more than $3.5 billion. Botswana is one of the primary countries to explore for kimberlite, a rock which is the primary source of diamonds.

Firestone is the biggest company to take hold of the exploration rights around the Jwaneng mine and the Orapa Mine, which includes the BK11 evaluation project. It also has exploration rights on the Tsabong kimberlite field in the south-western part of Botswana, which is one among the biggest diamondiferous kimberlite fields in the world. Tsabong is known for the significantly large size of its kimberlites, most especially the 180-hectare MK1 kimberlite.

Firestone is also conducting explorations for kimberlite on the Laurentia craton in the United States, which extends all over Canada, where it maintains a number of diamondiferous kimberlite deposits.

Firestone's mining operations include the Avontuur, Bonte Koe, and Oena Mines located in Namaqualand on the west coast of South Africa. The place is one of the world's largest diamond producing areas for the past 60 years. It has a total production to date amounting to more than $3 billion.

The company also has an increasing portfolio of early stage and advanced projects of explorations in Namaqualand. The most advanced project is the Groen River Valley project, which is being explored by the company in joint venture with De Beers.

Current Financial Overview

All revenues are from the South African operations. The processing plant is operated and owned by African Star Minerals (Proprietary) Limited that is operated exclusively on behalf of De Beers’ subsidiary based on the terms of a toll treatment contract.

he turnover for the fiscal year 2008 increased approximately 102% to £3.3 million, compared to fiscal year 2007. This was the result of the Bonte Koe operation reaching full production capacity during the year. The company generated an operating profit amounting to £2.1 million before impairment charges of £2.2 million with regard to its South African alluvial assets. In July 2008, the company raised from a share placement an amount of £5 million to finance evaluation and exploration ventures in Botswana. The company’s present cash position is about £2.5 million. If your company needs additional advertising, try a pull up banner stand at the next corporate event to boost interest.