Short Course 04

Principles of Rough Diamond Valuation

Presenter: Richard Wake-Walker (WWW International Diamond Consultants)

Date: PRE-SC04 takes place on Sunday, 14 August 2022.

Duration: One day

Registration: The registration fee is $250 full rate (CAD; ~$190 USD) and $150 student rate (CAD; ~$115 USD). Registration is open to only persons registering for 12 IKC from 09 August 2021 until 31 January 2022. If Short Course SC04 is confirmed, remaining places are also open to persons not registering for 12 IKC after 28 February 2022.

Location: Yellowknife, Northwest Territories

Description: Through Diamonds International Canada (DICAN) Ltd, WWW provides the technical input into valuing the rough diamond production before the diamonds leave the Northwest Territories. DICAN has been the Government Diamond valuator since 1998, firstly through the Federal Government in Ottawa, and secondly, since 2014, through the Government of Northwest Territories. DICAN has also provided similar valuation services to the Government of Ontario. WWW International Diamond Consultants also provide services to mineral exploration companies for the valuation of diamonds recovered from bulk samples. This presentation/discussion will cover the fundamentals of rough diamond valuation including:

  • Main diamond characteristics that determine value – how to apply the “4C’s” – cut, colour, carat size, and clarity to rough diamond valuation
  • Looking at rough diamonds in terms of possible polished diamond outcomes and the impact of this on price and recovery
  • Sizing for valuation
  • Rough diamond price books
  • Polished price lists
  • Valuation of large stones
  • Market valuations vs. price list valuations
  • Different selling methodologies
  • Statistical considerations in determining adequate sample sizes to enable determination of average price within certain tolerances
  • Valuation of mineral exploration bulk samples from underground and large diameter drilling samples and subsequent modelling of the average price ($/carat)
  • The various roles of a Government Diamond Valuator