Canadian Noble House Diamonds
Alluvial Mining 2011
Diamond History
• Diamonds form between 120-200 km or 75-120 miles
below the earth's surface
• They are the hardest, the most dispersive, and the
most brilliant of all precious stones
• It takes anywhere between 1 to 3 million years for a
diamond to naturally form in the ground
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Diamond Certification
• Certification is the determining
factor in price and quality of a
diamond
• Not all certificates are created
equal
• Some of the most respected labs
are the AGS and the GIA
• Reputable lab certificates cannot
be disputed by 3rd party
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Colour
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Clarity
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Cut
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Light Performance
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New Customers
• 79% of men are well aware of the main criteria
for judging a diamond and will enter the shopping
fray with a pre-formed opinion
• The once popular one quarter carat diamond ring
is too small; most young people now want a half
carat or larger
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Diamond Branding
• Diamonds are precious, invaluable symbols of romance and
commitment
• There are more diamond cut design patents being created in the last
10 years than in the entire previous course of history
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The Diamond Industry
• Diamond mines are the most lucrative mines on
earth.
• Since the 1930s, diamonds above 1 carat have
increased 15% annually
• The world supply of large, high purity diamonds is
now exceeded by demand
• High clarity diamonds above three carat increased in
value over 50% through the great recession
• The price of diamonds fluctuates less than that of
anything else precious, such as gold
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Diamond Market Analysis
20
15
10
5
0
2004 2012 @15% 2012 @7%
growth growth
Value of Demand (US$bn) 11 14 18
Value of Supply (US$bn) 11 11 11
Rapaport Pricing 2007 vs. 2010
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Alluvial Mining
• Alluvial diamond mining is completely different from
kimberlite pipe extraction. Alluvial mines exist in the
floodplains of kimberlite sources and in river basins,
where rough diamonds are found on bedrock, in
gravel, at depths of generally from 3-5 meters.
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Kimberlite Mine
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Mining
Rough Suppliers $14.8bn Rough
Production
Manufacturer
Wholesaler $4.3bn
Jewellery
Manufacturer
Retailer/Online $19.1bn
before markup
$51.2bn Mark up
Consumer $70.3bn Retail
sales
Source to Sale
• Noble House has stakeholders who are successful
operators at each of these three levels of integration:
Multiple Alluvial Mines
Noble House
Diamonds
Manufacturing, Marketing,
Branding
Top Jewellers in
Carriage Trade Retailers North America
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Why Alluvial Mining?
• Guaranteed yield
• A relatively inexpensive form of mining
• It yields diamonds having the most stable diamond
crystals and stronger inherent structure than
kimberlite crystals
• The process presents gold as its bi-product, which
will offset mining costs
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Profile
• Noble House is Canada’s first diamond business
insured federally by the E.D.C. for overseas sales
• Noble House cuts and brands its patented world class
diamond designs
• Equipped with state of the art diamond cutting
facilities and master diamond cutters
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Corporate Vision
• Ensure sustainable Environmental and Fair Trade
diamond and gold mining
• Canadian made, owned and operated
• Owner operators at all levels of integration
• Multiple alluvial mines in Africa and South America
mining
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Goal
Noble House aims to be the fifth
source to sale Diamond Company
supporting Fair Trade mining
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comprehensive source guaranteed
By virtue of source to sale single pipeline that is:
• Natural and untreated
• Branded
• Fair trade
• Cut and polished into the top of 1% on earth
• Forever Guaranteed to ensure durability
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Fair Trade
Noble House will market fair trade
diamonds, enabling artisanal
mines and land owners to be
partners in profitability
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Factory
• Canadian Noble Cut Diamonds
owns and operates a state of the
art diamond cutting factory
• Operated by some of Canada's
finest diamond polishers and
designers who have worked
throughout the world
• With the latest diamond tables,
bruting machines and a bank of
traditional saws
Branding
Noble House strives to offer a future in
which jewellers and artisans produce
signature designs which are inspired by
its new and innovative cutting edge
diamonds
Including…
Tiana™
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Ariana
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The Noble Star
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Excalibur
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Diamondiferous Gravel is found on
bedrock at depth of 3-5m
Depth goes from mid river 100
meters in land
Comprises 31 mining concessions
Environmentally benign, because
the flood water each winter
replaces the shore line
This mine is going to use a mobile
dove 150 tone per hour washing
plant that should yield
300 – 500 carats per day run of
mine
2 out of 10 largest diamonds found
within a kilometer from this site
Partners Gain
• Territorial exclusivity
• Marketing and brand exclusivity
• Source to sale marketing cachet
• World class inventory of premium certified branded
diamonds
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Conclusions
• Opportunities are there for a value-added
diamond industry in Canada
• Mining to retail
• Vertical integration = essential
• Size matters (we cannot nor should we compete with
Mumbai)
• Branding = essential
Questions?
Stephen Ben-Oliel, G.G.
President
Canadian Noble House Diamond
Tel: 604.731.5711
Fax: 604.266.6315
Toll Free: 1.877.685.4377
Email:
Stephen@noblehousediamonds.com
Web:
www.NobleHouseDiamonds.com