Burgundy Diamond Mines Extends Ekati Mine Life, Reports Q4 Results

Burgundy Diamond Mines Limited (ASX:BDM) has reported its fourth quarter (Q4-2024) results, highlighting strategic initiatives to extend the life of its Ekati mine and maintain its position as a premier independent global scale diamond company. The company's vertically integrated business model continues to contribute to its competitive advantage in the diamond industry, with opportunities for further expansion and diversification on the horizon.

During the quarter, Burgundy unveiled the first ore from Point Lake open pit, marking Ekati's 10th operation over twenty-six years of production. The company remains on track to release its first mine plan by the end of Q1-2025 and will release the longer-term mine plan in the second half of 2025, which could extend the life of mine to the mid-2030s. Additionally, Burgundy completed the set-up of an environmental trust where contributions made for future closure obligations can be used as tax credits that can be applied to 2024 taxable income, carry back to tax period ended December 2023 or carry forward to future years.

Fourth quarter operational and financial highlights (in US dollars):

| Metric | Q4-2024 | Q4-2023 | Change |
| --- | --- | --- | --- |
| Ore tonnes mined (million) | 0.97 | 1.10 | -12% |
| Tonnes processed (million) | 0.98 | 1.05 | -7% |
| Carats recovered (million) | 1.02 | 1.24 | -17% |
| Carats recovered per tonne processed (C/t) | 1.05 | 1.18 | -11% |
| Carats sold (million) | 1.10 | 1.79 | -39% |
| Average price per carat ($/ct) | 92 | N/A | N/A |
| Total proceeds (million) | 101 | N/A | N/A |
| EBITDA (million) | 20.5 | N/A | N/A |
| Cash (million) | 25.1 | N/A | N/A |

Burgundy's strategic initiatives to extend the life of its Ekati mine align with its long-term vision for growth and sustainability. By conducting mine-life extension work at the Sable and Misery underground projects, as well as a prefeasibility study for the Fox underground operation, the company aims to increase the mine's life to the mid-2030s. Additionally, the development of underground operations leverages the exceptional infrastructure and remaining mineral resources at Ekati, further strengthening Burgundy's position in the global diamond market.

Burgundy Diamond Mines' vertically integrated business model has contributed to its competitive advantage in the diamond industry by providing traceability along every step of the process, from mining to marketing and discovery to design. This end-to-end business model with total chain of custody allows Burgundy to safeguard the ethical production of diamonds and unlock access to the full diamond value chain. By building a balanced portfolio of diamond projects in favorable jurisdictions, including the globally ranked Canadian mining asset, Ekati, and a diamond cutting and polishing facility in Perth, Burgundy has been able to capture margins along the full value chain of the diamond industry, including mining, production, cutting and polishing, and the sale of diamonds.

In conclusion, Burgundy Diamond Mines' fourth quarter 2024 results demonstrate the company's commitment to extending the life of its Ekati mine and maintaining its competitive advantage in the diamond industry. With strategic initiatives focused on mine life extension and a vertically integrated business model, Burgundy is well-positioned for future growth and sustainability. As the company continues to invest in its unique business model and explore new opportunities, it can further expand its competitive advantage in the diamond industry.