Most of the diamonds produced at the Kelsey Lake Mine were clear, gem-quality stones. About one-third of the stones were one carat or larger in size. When the mine closed, there was an identified resource of 17 million tons of ore with an average grade of 4 carats per hundred metric tons. In 2003 the United States Geological Survey reported that the most valuable stones produced from the Kelsey Lake Mine were valued at $89,000 and $300,000. A 16.87 carat diamond from the Kelsey Lake Mine in Colorado was sold at auction for $185,000 in 2015. Have you ever been to Fort Collins Colorado?

Commercial output started in May 1996. After mining and selling approximately 200 carats worth of diamonds, Redaurum was sued by Union Pacific who had originally sold the land in 1896 but claimed that it held on to the mineral rights. The two parties settled the lawsuit but in September 1997 Redaurum decided to liquidate its diamond properties to concentrate on exploration. The mine was operated sporadically until the operation was acquired by McKenzie Bay International Ltd. in 2000. McKenzie bought the mine management firm Diamond Co. from Chapter 11 bankruptcy, transferred all its assets to a subsidiary, Great Western Diamond Co., and invested $2 million in new equipment for the mine. In 2001, McKenzie tried to sell the mine to focus on mining vanadium after the price of that metal rose dramatically. However, due to a dispute with the landowner over royalty payments, the sale fell through and McKenzie was unable to find another buyer. The mine ceased operations in 2001, and the site was fully reclaimed by 2006. Are you surprised that this was the only Commercial Diamond mine in the United States?

Diamonds in California Gold Country - In over two centuries of prospecting for gold in California streams, a lot of people have carefully searched through a lot of sediment. This has led to the discovery of hundreds of gem-quality diamonds that are mostly small in size. At most locations, a single diamond or two has been found. But remarkable numbers have been found in a few areas. One of the most notable diamond localities is an area of hydraulic mining in Butte County, north of Oroville, known as the Cherokee Mine. At this mine, native gold, native platinum, and hundreds of gem-quality diamonds have been recovered from Tertiary-age gravels of the Ione Formation. These gravels are mostly channel fills, often overlain by Tertiary-age basalt flows. The grade of the ore in respect to diamonds was inadequate to support sustained production. However, the diamonds were an incidental product - the gold being mined was much more valuable. Diamonds have a high specific gravity relative to other sediment grains and tend to accumulate in the same locations as gold and platinum. Efforts to locate the diamond host rock have not been successful. Are you surprised that there has never been enough interest to start commercial diamond mining in California?

Crater of Diamonds - The Active U.S. Mine ** Although millions of carats of diamonds are consumed each year in the United States, very few diamonds are domestically produced. The only active diamond mine in the country is the Crater of Diamonds Mine near Murfreesboro, Pike County, Arkansas. There, recreational prospectors have been finding up to a few hundred carats of diamonds per year since the early 1970s. Many colored diamonds have been found at Crater of Diamonds. Most have been yellow or brown. The mine is a dig-for-fee operation maintained by the Crater of Diamonds State Park. The diamonds are hosted in a lamproite breccia tuff and its overlying soil in a structure known as a maar. Collectors pay a fee of a few dollars per day to prospect and can keep any diamonds that they find. This is the only diamond mine in the world that is open to the public. Would you like to go to this mine and try your luck?

Other Potential Diamond Areas & Gemstones ** The discovery of numerous commercial diamond deposits in Canada has generated prospecting interest in the United States. Areas with similar geologic settings to the Canadian deposits exist in Alaska, Colorado, Minnesota, Montana, and Wyoming. Diamond indicators and confirmed diamond pipes have been found, but so far none have attracted significant investments or commercial mining. Hundreds of diamonds have been found in the Pacific coast region; however, that area is unfavorable for the presence of kimberlite and lamproite. It is possible that these diamonds are coming from a source that has yet to be understood. Gemstones also found in the US include: Jade, Emeralds, Turquoise, Topaz, Tourmaline, Hiddenite and others. Do you think the US will start up any commercial gemstone mining?

The Best Diamond Prospects in the USA ** Several companies in the United States are now producing synthetic diamonds using chemical vapor deposition and other processes. Many of the diamonds produced by these companies have the clarity and color required for use as synthetic gems. They have retail prices that are very competitive with natural stones and that appeals to many buyers. Sales of synthetic diamonds are steadily increasing, and that trend may continue. Most of the synthetic diamonds produced in the United States is used in manufacturing. Synthetic industrial diamond is cost competitive with natural diamond and readily available. Did you know US production is 13% of the global market of Lab-grown Diamonds?