Lucara Diamond has canceled its sales contract with HB Trading due to what it describes as a significant breach of financial commitments by HB, IDEX Online reports. In 2022, Lucara entered into a ten-year sales agreement with HB Trading to provide HB with diamonds weighing 10.8 carats and above from its Karowe mine in Botswana.
The Canadian diamond mining company stated that it will continue to utilize its existing channels for selling rough diamonds from the Karowe mine, namely the Clara diamond sales platform, traditional tenders, and other “value-added mechanisms” for gemstones.
CEO William Lamb said: “The Lucara production profile is unique in the diamond industry and the company will continue to look at innovative sales mechanisms to maximize the value of our rough diamonds.”
During the second quarter of this year, Lucara sold diamonds worth $25.8 million through HB Trading.
