DiamondCorp’s Lace Mine in the Free State
Johannesburg - DiamondCorp announced on Tuesday, that the Issuer Regulation Division of the Johannesburg Stock Exchange (JSE) has agreed to the removal of its secondary listing status from the alternative board as the company is no longer eligible for a listing on the JSE.

Trading in the DiamondCorp’s shares on the JSE’s alternative board, and on the London stock exchange, was suspended in November last year. Termination of DiamondCorp’s secondary listing status on the alternative board will come to completion on Monday, July 24.

Trade in DiamondCorp has run into difficulties as Lace Diamond Mine, its core business in the Free State, was hit with a series of setbacks which resulted in the temporary suspension of mining and put further strains on its balance sheets.

Read also:  JSE cancels Oakbay trades, starts probe 

DiamondCorp filed notice of its intention to appoint administrators earlier this year after the board determined that the company was no longer able to continue trading as a going concern, and was put under a business rescue programme managed by Deloitte and Touche.

Lace Mine was put into business administration following the impact of adverse weather which resulted in flooding, and the company tried in vain to refinance the operation via a placing and debt restructuring.

The miner was also dealt a blow late last year when the Department of Mineral Resources issued it with a Section 54 shutdown notice on underground operations following a fire incident on a dump truck just inside the portal to the decline.