ALROSA for the First Nine Months Has Reduced Mining by 11%
OREANDA-NEWS The Russian diamond mining company ALROSA for nine months of 2018 reduced diamond production by 11% to 26.4 million carats. This is stated in the company's message.
This is due to the "withdrawal from the processing of ore from the Mir tube," as well as the completion of open-pit mining from the Yakut Udachnaya tube.
However, in the third quarter of 2018, diamond production increased by 23% to 10.5 million carats. ALROSA explained the increase in seasonal resumption of production at alluvial deposits and an increase in the volume of ore and sand processing. In addition, the assets that were launched earlier are gradually reaching the project indicators.
In the third quarter of 2018, ALROSA sold diamonds for 6.7 million carats, of which 4.7 million carats of jewelry quality and 2 million carats of technical quality.
The price index rose by 5.2% since the beginning of the year amid growing demand for diamond products.
Q3 sales decreased by 10% quater to $973 million (+13% year), including diamond sales (excluding technical diamonds and diamonds) of $949 million.
In August 2017, the President of ALROSA Sergei Ivanov said that the company could reduce diamond production due to the accident at the Mir mine, which occurred on August 4, 2017. Then water broke from a pit and flooded mine where at the time of incident there were 151 workers. Managed to evacuate 142. Eight miners could not be found. In January Ivanov said that the production of the "World" will be able to resume no earlier than 2022.
ALROSA is the largest diamond mining company with 27% of the world's diamond production. Conducts production in the Republic of Sakha (Yakutia), the Arkhangelsk region, as well as in Angola. The production base of the company includes 11 kimberlite pipes and 16 placer deposits. The company's shareholders are the Russian Federation represented by Rosimushchestvo (33.02%), the Republic of Sakha (Yakutia) - 25%, uluses (districts) of Yakutia - 8%. Almost 34% of the shares are in free circulation.