Vancouver-based Tango Mining (TSXV: TGV) has recovered a 42.25 carat diamond from run of mine gravel at the Oena diamond mine in westernmost South Africa. Tango plans to sell the diamond at the Kimberley Diamond Exchange beginning Aug. 20, 2018.
Oena is a past producing alluvial diamond property located in a well-established alluvial diamond mining area in the Northern Cape Province. The property is 88 sq. km in size and covers a 4.8 km-wide strip along a 15 km length of the Orange River.
The mining rights are held by African Star Minerals, Tango’s 51%-owned subsidiary. Contracting issues limited production at the site last year. Oena’s new contractor, Bluedust 7 Pty., began production last November.
Bluedust, which is entitled to 75% of net diamond sales from run of mine gravel and 60% of net diamond sales from tailings during its 60 month contract, recently completed a due diligence program of Oena. Satisfied with the results of that program, Bluedust plans to increase the mining and processing capabilities at the mine to increase production. That includes the recent installation of two 16 foot pans with a combined capacity of 120 tonnes per hour to process tailings left on the site from previous operations.
Current inferred resources at Oena are 1.075 million cubic metres at a grade of 0.295 carats per cubic metre. Tango also holds three thermal coal, metallurgical and processing plant and engineering contracts in South Africa.