Russian diamond mining giant ALROSA experienced a slight downtick in revenue and profit during the third quarter as compared with Q2, as significantly weaker sales volumes were offset by higher average prices and an improved sales mix. The miner has, however seen strong growth for the first nine months of the year, and last week commenced commercial diamond production at its newest mine, the Verkhne-Munskoye Diamond Field in Yakutia.
According to a De Beers spokesperson, the diamond miner is set to bring the Damtshaa Mine in Botswana - closed since 2015 - back into operation during the fourth quarter, reports Rapaport News. Opened in 2003, Damtshaa Mine was placed into care and maintenance in December 2015. De Beers is now set to recommision the mine and expects to be back at full production by January. Just over 300,000 carats were recoverd there during its last full year of operation in 2014, making it one of De Beers smaller mines, and more than 31 million have been produced since the mine opened.
Gahcho Kué, the world’s largest new diamond mine in the last 13 years, officially began commercial production today (2 March 2017), De Beers announced in a press release. The mine, a joint venture with De Beers Group (51%) and Mountain Province Diamonds (49%), is expected to produce approximately 54 million carats of rough diamonds over its lifetime. Production ramp up began on 1 August 2016 and the official opening ceremony took place on 20 September 2016. Bruce Cleaver, CEO, De Beers Group, said: “Today marks a significant landmark for De Beers in Canada as Gahcho Kué becomes an important
Lukoil has sold its 100% stake in a joint stock company (JSC) that controls a diamond mine in the north of Russia for $1.45 billion. The sale of Arkhangelskgeoldobycha to the holding company behind Otkritie Financial Corporation Bank is expected to go through early next year. The JSC is developing the VP Grib diamond mine in the Arkhangelsk region, which was discovered in 1995.
A De Beers proposal to let its closed Snap Lake diamond mine flood as part of its care and maintenance status has run into opposition from a local community in the Northwest Territories in Canada. The miner suspended operations at the underground mine last December with the forecast loss of more than 400 jobs saying poor market conditions made the Snap Lake operation unviable and it could remain closed for three years or more.
JCK's Rob Bates takes an in-depth look at Signet’s Responsible Sourcing Protocol for Diamonds that aims to provide information on the origin of stones from the diamond industry's "notoriously convoluted supply chain" where parcels are frequently sold from various sources. "The new program was designed with that in mind and will allow companies to break down the origin of their diamonds into several different categories, says Signet consultant John Hall, the Rio Tinto veteran who helped design the protocol. “We recognized that we needed to have a fairly good amount of flexibility,” he says.
For the first installment of our new series, “Through the Loupe”, that will deliver insightful analysis from a broad selection of diamond industry insiders, The Diamond Loupe sat down with Peter Robinson to talk about Gem Diamonds - miner of some of the largest and highest quality diamonds in the world - and its Baobab manufacturing facility in Antwerp, the current state of diamond miners, investment diamonds, consumer demand and the art of polishing large, high-value diamonds.
De Beers reported that diamond production for the fourth quarter of 2015 decreased 16% to 7.1 million carats, saying the figures reflected the decision to reduce production in response to trading conditions. At its largest mining unit, Debswana, production decreased 21% to 4.7 million carats, as a result of a reduction in tonnes treated at Jwaneng and Orapa. Production in Namibia dropped 18% to 400,000 carats, and in Canada, output was down 8% to 400,000 carats. However, in South Africa, production increased slightly to 1.5 million carats.
GE Digital has created an infographic, “The Industrial Internet in Mining”, with a view to how it is revolutionizing the mining industry. The Industrial Internet is the convergence of the global industrial sector with big data and the internet of things. The result of this convergence is estimated to be up to a $15 trillion increase in global GDP over the next 20 years stemming from smarter decisions, optimized performance, higher productivity, and substantial savings in fuel and energy.
On Aug. 5, an Environmental Protection Agency cleanup crew accidentally spilled three million gallons of toxic gold mine waste into Colorado’s Animas River, turning it orange and sparking a state of emergency in the local area. The EPA crews were investigating contamination at the Gold King Mine in Colorado, which has been closed since 1923. They accidentally breached a barrier, causing decades-old mine waste to flood into the Animas River. News reports say the orange-colored sludge has traveled as far as Utah and New Mexico.
In an article on The Wall Street Journal, analysts comment on mining giant BHP Billiton's decision to set up a company, South32, to house unwanted operations including coal mines and alumina refineries. In the process, it would halve the number of assets it runs and the number of continents on which it operates, leaving BHP focused on a handful of commodities including iron ore, copper and oil.
RioZim – which mines gold, diamonds and coal in Zimbabwe – hopes to work with state-owned power utilities in South Africa and Namibia to build a US$2.1 billion 1 400-megawatt thermal power plant near its Sengwa coal mine in north west Zimbabwe, according to media reports. Excess electricity would be sold back to state-owned facilities such as South Africa's Eskom Holdings SOC and Namibia Power Corporation.
Andrey Pismenny, former Chief Engineer of ALROSA, is appointed as CEO of Severalmaz JSC operating in the Arkhangelsk region for the next 5 years. A processing capacity increase in 2014 will give Severalmaz an opportunity to increase diamond production at the M.I. Lomonosov diamond field to 2 million carats in 2015 and to over 5 million carats thereafter.The development of Severalmaz is an important part of ALROSA’s Long-term development program that envisages production growth from 36.2 million carats in 2014 to more than 41 million carats by 2019.
Petra Diamonds reported that revenue fell 41 percent year on year to $96.1 million in the third quarter that ended on March 31. The company sold 826,815 carats during the period, representing a 9 percent decline. Production rose 6 percent to 791,443 carats. During the quarter, the company's beneficiation partner completed cutting and polishing a 122-carat blue diamond, which yielded 4 exceptional polished stones. Petra will retain a 15 percent share of the sales price of these stones and is currently evaluating the best route to market.
ALROSA boosted its diamond reserves by 25.6 million carats in 2014, meanwhile driving its output to 36.2 million carats. The miner’s investments in exploration reached RUB 6.42 billion ($113 million) last year, according to Vasily Grabtsevich, VP of ALROSA. As at July 1, 2013, ALROSA’s reserves were estimated at 608 million carats, the resource base of the company totaled 973 million carats of diamonds sufficient to maintain production at current levels for 30 years. ALROSA’s diamond mining target for 2015 is set at 38 million carats.
More than a year after leaving the Diamond Trading Company which she headed for eight years, platinum group metals miner Lonmin has appointed Varda Shine as an independent non-executive director with immediate effect.