Editor’s Note
A record-breaking rough diamond, weighing 2,492 carats, has been unearthed in Botswana. This article details the discovery and its potential multi-million dollar valuation.
The world’s second largest rough diamond, weighing 2,492 carats and discovered by Canadian mining company Lucara at the Karowe mine in Botswana, could be worth over $40 million, according to the Financial Times.
The Karowe mine, which began operations in 2012, has enabled Lucara to sell 216 diamonds worth over one million dollars each and 11 diamonds valued at more than $10 million each.
Botswana is Africa’s leading diamond producer. In 2019, Lucara had already discovered the “Sewelo,” a 1,758-carat stone that was considered—until last week’s discovery—the largest diamond found since the legendary 3,106-carat Cullinan, extracted in South Africa in 1905 and presented by the Transvaal government to King Edward VII for his 66th birthday.
Part of the Cullinan, cut into nine pieces, now adorns the British Imperial Sceptre kept among the Crown Jewels in the Tower of London. As for the Sewelo, it was purchased by Louis Vuitton, a flagship brand of luxury giant LVMH, for an undisclosed price.
Lucara Diamond Corp. is a Canadian diamond mining company holding several exploration licenses in Botswana. It owns 100% of the Karowe mine, a site considered one of the world’s leading producers of “large, high-quality Type IIA diamonds,” meaning stones larger than 10.8 carats.
The Canadian company also owns Clara Diamond Solutions, a secure digital sales platform aimed at guaranteeing diamond provenance from mine to fingerprint.
Regarding Lucara’s latest financial results, the company generated revenues of $41.3 million in the second quarter of 2024, corresponding to the sale of 76,387 carats of diamonds.
The mining company is committed to paying the Botswana government a royalty of 10% of the gross value of revenue from precious stones extracted at Karowe. Diamonds are indeed the country’s primary source of income, representing 30% of GDP and 80% of total exports.
Recently, at Karowe, the development of a new X-ray detection technology has accelerated gemstone discoveries. It allows for the isolation and extraction of the largest precious stones without breaking them.
Following these advancements, Lucara’s production even increased by 18% in 2023 at Karowe, corresponding to the extraction of 395,134 carats. In February of this year, the Canadian company concluded a 10-year agreement with Belgian diamond trader HB Antwerp.