Lucara strikes new cut and polish deal with Louis Vuitton

The diamond, named “Sethunya” (meaning “Flower” in Setswana), was recovered unbroken from direct milling of ore sourced from the EM/PK(S) unit of the Karowe mine’s South Lobe.

HB Antwerp, a European diamond manufacturing and technology company, will also collaborate in making the highest value polished diamonds from Sethunya, Lucara said.

This new agreement builds on one announced in January, relating to the historic 1,758-carat Sewelô, Botswana’s largest diamond, recovered from Karowe last year.

Lucara’s chief executive, Eira Thomas, said the company is excited to be working with Louis Vuitton and HB to transform Sethunya into “an extraordinary, bespoke, polished diamond collection, catering exclusively to the desires of Louis Vuitton’s global customer base.”

As part of the deal, Louis Vuitton will have the right to sell the resulting polished diamonds. Lucara will be paid a sum based on the outcome, which will be determined by HB’s scanning and planning technologies.

The Vancouver-based miner will also receive a percentage of the total achieve through sales, less a fee and the cost of manufacturing.

Lucara said it would obtain that sum by the fourth quarter of 2021 at the latest.

Karowe, which began commercial operations in 2012, last year yielded more than 20 diamonds larger than 100 carats, eight of them exceeding 200 carats. So far in 2020, the operation has produced six diamonds greater than 100 carats.

The company is moving forward with an underground expansion of the mine, which is expected to extend the operation’s life for 20 years — until 2040.