(IDEX Online) – ALROSA reported that diamond production jumped on the quarter, but was down on the year.<?xml:namespace prefix = "o" ns = "urn:schemas-microsoft-com:office:office" /?>
Its Q2 2018 production performance and preliminary trading update is as follows.
Key highlights in Q2 2018:
• Diamond production grew 15% q-o-q (down 18% y-o-y) to 8.5 m carats, due to seasonal return to production at alluvial deposits supported by the recently ramped-up assets, the Udachny underground mine (pictured above) and Severalmaz.
• A y-o-y decrease in diamond production was due to the closureof the Mir underground mine (UM), a lower diamond grade at deep horizons of the International UM as well as the share increase of processing of a lower grade ore at the Jubilee pipe and the Aikhal UM of the Aikhal Division.
• The volume of processed ore and gravels grew by 77% q-o-q (up 1% y-o-y) up to 10.1 m t, due to seasonal return to production at alluvial deposits (up 4.4 m t), while ore output remained flat.
• The average diamond grade per tonne of ore was lower by 35% q-o-q (-18% y-o-y) to 0.84 cpt, mainly due toseasonal return to production at lower-grade alluvial deposits operated by Almazy Anabara and a lower diamond grade at alluvial deposits developed by the Mirny Division.
• Q2 Group rough diamond sales (ex.polished diamond sales) were9.0 m carats (down 32% q-o-q), including 6.3 m carats of gem-quality rough diamonds (-38% q-o-q) and 2.7 m carats of industrial diamonds (-16% q-o-q).
• Inventories as at the end of Q2 2018...