De Beers Reports Increased Diamond Production in Botswana & Namibia Despite Dip in Polished Demand

Rough diamond production increased by 6% to 8.2 million carats, reflecting strong operational performance across the assets, partially offset by the planned completion of the final cut at Venetia open pit.

In Botswana, production increased by 11% to 5.8 million carats, primarily driven by strong plant performance, particularly at Jwaneng. The long-standing production arrangement between the Botwswana government and the mine might be under pressure based on reports that yesterday President Mokgweetsi Masisi warned his country ‘may sever ties with diamond giant De Beers if talks to renegotiate a sales deal prove unfavorable to his government.’ Talks continue between the two parties.

The company’s Namibia production increased by 51% to 0.6 million carats, primarily driven by the continued strong performance from the Benguela Gem vessel and the treatment of higher grade ore at the land operations.

The full year consolidated average realized price increased by 35% to $197/ct (2021: $146/ct), driven by a 23% increase in the rough diamond price index, as well as selling a larger proportion of higher value rough diamonds in the first half of the year. The increase in the rough price index reflected overall positive consumer demand for diamond jewellery and was supported by De Beers’ proposition of provenance-assured diamonds.

Source: De Beers
Photo Credit: De Beers