The Lundin Group's Lucara Diamond Corp. (TSX:LUC) reached a 52 week high of $1.25 Friday, with shares in the African diamond producer closing at $1.23 on approx. 700,000 shares.

Lucara Diamond Daily

LUC's chart is shining bright like a diamond

Lucara's shares have more than doubled since the company entered production at its 100% owned Karowe diamond mine in Botswana in August, 2012 (Related: A New Age For Lucara Diamond Corp. - LUC at $.58), giving the junior miner a market cap of greater than $460 million today, with the Lundin's position worth at least $84 million, according to insider filings.

Lundin family patriarch Adolph, who passed away in 2006

Family patriarch Adolf Lundin, 1932-2006

The company's run is a result of outperformance at Lucara's flagship Karowe mine in Botswana, where rich stones (some 250+ carats) keep coming out of the Karowe kimberlite pipe, awing investors and auctioneers alike (Sales proceeds in excess of $80 million and over 230 thousand carats sold for the first six months of 2013).  Sources in the institutional investment community tell us Lucara will soon be in a financial position to acquire additional projects or even pay a dividend. Diversification will become important for Lucara in its next stages of growth as investors never love one asset producers, and by the sounds of it the company's Mothae project in Lesotho will not get built. However, given the Lundin's financial strength, and the depressed and unloved state of the junior mining market, there should be opportunities for the company to pick up other assets. I would never bet against the Lundin's and see LUC's share price continuing to be strong here.

Related: Wildcat Legend Adolph Lundin's 5 Keys For Entrepreneurial Success, and Lukas on Lundin, the resource tycoon talks risk, reward and success in mining and energy.

These are opinions and not advice. All figures approximate and all facts to be verified by the reader. This is not investment advice. Always do your own due diligence. Thank you.