1.2 Carat Diamond Found in Mud, Worth Over $3,000?

A man searching for gold near a friend's well was well awarded when he found something even more valuable.

Dan Fagnan has the hobby of digging for gold. He is a resident of St. Croix County, in Wisconsin. His habit it looking for gold is something that he often gets made fun about, namely because his findings are never worth a lot of money.

"Everyone thinks I'm a fruit loop for panning for gold," he admitted to the Richmond News.

The jaunts at his expense, however, have not kept Fagan from his quest for gold. His latest search ground included mud that had recently drilled out by his friend in order to create a 120-foot well. This time, though, his search for gold resulted in something quite different, although even more valuable.

Fagnan typically finds only flakes of gold, according to the newspaper, but his latest find appeared to be a piece of glass. Upon further inspection, Fagan discovered that the small, clear looking rock was actually a diamond. The amateur gold digger took the stone to Greaton's Designing Jewelers and was told that he was in possession of a 1.22 carat diamond.

Even the jewelry shop's owner, Karen Greaton, was skeptical about the find. But all tests pointed to the affirmative.

"My dad told me it's unlikely to find a diamond here, but diamonds can actually be found anywhere in the world," Greaton told the paper. "Most often, diamonds are formed near volcanoes, where minerals and heat combine to create the hard substance.

The diamond was found in the rough, literally, and Greaton advised Fangan that he did not cut it or else he would lose about 60 percent of the diamond. Keen on taking her advice, Fangan decided that instead he would leave the diamond as is and make it into a necklace for his soon-to-be-born daughter.

A round cut, 1.22 carat diamond could be worth over $3,000.