Lipari Mining (LML.NE)
Setting the Benchmark for Ethically Sourced Diamond Production

Ethically sourced diamonds with verifiable provenance have become the defining standard in the global diamond industry.

Lipari Mining (LML.NE: FRA) operates at the forefront of this transformation, seamlessly integrating geological significance with unwavering accountability. From Brazil’s volcanic kimberlites to the heart of Angola’s renowned central diamond district, the company is preserving Earth’s ancient formations while building a future rooted in transparency, community and innovation.

“We don’t simply extract diamonds; we deliver trust, integrity and a compelling story our customers can proudly share,” says Ken Johnson, president and CEO.

Lipari produces natural diamonds from its mines, ensuring every stone’s journey is secure and traceable through a fully auditable chain-of-custody process. Its operational model is designed to respect the land, foster community growth and deliver diamonds that buyers can wear with pride. Each mine is developed and run with a focus on environmental innovation, geological integrity and social impact, creating a standard where beauty, responsibility and transparency are inseparable.

Proven Results Backed by Heritage and Innovation

Lipari’s Braúna mine in Brazil stands as a globally recognized operation distinguished by its extraordinary geological heritage, historic significance and industry-leading environmental practices. The diamonds recovered here are over 642 million years old—true time capsules formed during the Cryogenian period.

Braúna also holds a pioneering place in mining history as the first diamond mine in Latin America developed from a kimberlite deposit, the same volcanic rock that hosts the majority of the world’s diamond resources.

Environmental stewardship defines its operational approach. Braúna is the only diamond mine in the world without a tailings dam. Its advanced processing facility employs a state-of-the-art dewatering circuit to recover and recirculate 98 percent of the water used during ore processing. This produces dry tailings that can be safely stockpiled, eliminating the long-term risks associated with conventional tailings ponds. The dry kimberlite tailings are also undergoing trials as soil remineralizers, potentially supplying valuable nutrients to nearby agricultural communities.

Complementing its rich history and sustainable practices, Braúna has demonstrated remarkable operational consistency. While global market disruptions like the COVID-19 pandemic, U.S. tariffs and sanctions created temporary pressures, tightening worldwide supply has strengthened demand for responsibly sourced rough diamonds. Throughout varying market conditions, Braúna’s diamonds have maintained an average sales value of around USD 185 per carat, reflecting the mine’s consistent size and quality distribution.

A Legacy Defined by People and Diamonds

Lipari’s measure of success goes beyond carats and sales. Through the mine, it forges close relationships with surrounding communities, working hand in hand with the municipality to expand access to health care, education and security.

In 2024, it allocated 2.9 percent of gross sales revenue to social programs, with healthcare serving as the cornerstone of Lipari’scommunity investment strategy. The municipal hospital received vital equipment upgrades, and the region’s first mobile ICU ambulance was introduced, allowing patients to be transferred safely to better-equipped facilities in larger cities. On average, healthcare initiatives represent 33 percent of its social investment.

“At Lipari, we believe diamonds should catalyze positive change. Our commitment to community investment is woven into our identity,” says Johnson.

Food security and access to essential goods are addressed through strategic municipal partnerships. We supply staple items to the local food bank and deliver potable water to rural farming communities. Agricultural programs have grown into thriving, sustainable local enterprises, including a cooperative producing organic honey and another dedicated to egg production. These initiatives now generate meaningful income for local families, expanding on the foundations laid with Lipari’s support.

Forging the Next Phase of Diamond Development

Lipari is advancing its transformative next chapter with the development of the Tchitengo property in northeastern Angola. The site is at the center of one of the world’s most prolific diamond districts, where Lipari holds a 75 percent equity interest in partnership with ENDIAMA Mining, the Angolan government’s mining company. The property is strategically situated north of the world-class Catoca mine and 35 kilometers south of Luele, Angola’s newest diamond mine. Nearly all of the country’s diamond-producing kimberlites are located along this geological structure.

Its comprehensive exploration permit encompasses 30 kimberlite pipes, with the Tchiuzo kimberlite being the primary development focus. It was discovered in 2005 and advanced to the feasibility study stage by ALROSA following a substantial USD 36.5 million investment. Lipari is updating the study to initiate production by 2028. A recent drilling campaign confirmed a mineral resource of 23.1 million carats, validating ALROSA’s earlier estimate. This supports the potential for an open-pit mining operation producing 1.4 million carats annually over a 14-year mine life.

A Verifiable Journey from Mine to Market

The quality of Lipari’s diamonds is reinforced by strict adherence to the Kimberley Process Certificates System (KPCS), an international agreement designed to prevent conflict diamonds from entering the mainstream market. Each day’s production is registered and photographed, creating a permanent record of origin.

Government mining agencies regularly inspect operations and issue KPCS certificates, ensuring the rough diamonds are formally documented. Combined with the company’s internal chain-of-custody system, the process allows every stone to be traced back to its source.

Customers receive diamonds backed by proof of origin, adherence to the KPCS and full compliance with environmental, mining and labor regulations.

Shaping the Next Chapter of Diamond Mining

Lipari’s long-term vision is anchored in sustainability, innovation and growth. The company is advancing toward becoming a zero-carbon diamond producer, building on the low-carbon energy model proven at Braúna and extending it to Angola. The introduction of advanced tracer technology will further differentiate its production.

It has also strengthened its global presence through listings on the Cboe Canada and Frankfurt stock exchanges, opening access to a broader base of institutional and retail investors in Canada, Europe and beyond. These milestones strengthen Lipari’s ability to advance the Tchiuzo project and reinforce its reputation as a producer of ethically sourced, transparent and environmentally responsible diamonds.

Lipari’s track record demonstrates that natural diamond mining can respect geological heritage, deliver measurable community benefit and meet the highest ethical sourcing standards. By uniting operational transparency, environmental leadership and community commitment, it has positioned itself as the preferred choice for buyers seeking diamonds whose value is measured as much by their story and impact as by their brilliance.