Sourcing

De Beers’ Diamond Production Flat in Q1

SourcingApr 26, 2023

De Beers’ Diamond Production Flat in Q1

De Beers said the main reason production leveled off in the first quarter is Venetia, which is transitioning to an underground operation.

This photo shows trucks at De Beers Group’s Orapa mine in Botswana. The country’s diamond production increased 12 percent year-over-year in the first quarter, due in part to the robust performance of the processing plant at Orapa. (©De Beers Group/Photo credit: Ben Perry @ Armoury Films)
London—Diamond production was flat in the first quarter for De Beers Group, due mainly to South Africa’s Venetia mine being in a transitional period.

First-quarter diamond production totaled 8.93 million carats for De Beers, compared with 8.94 million carats in the first quarter 2022, the company reported Tuesday.

Compared with the fourth quarter 2022 (8.2 million carats), production was up 10 percent.

In three of the countries where De Beers operates—Botswana, Namibia, and Canada—first-quarter production was positive year-over-year, but those gains were offset by South Africa, where production fell 56 percent to 739,000 carats as the country’s only diamond mine moves from an open-pit to an underground operation. 

The open pit at Venetia closed at the end of 2022, and workers there currently are only processing lower-grade surface stockpiles while the mine transitions.

De Beers began working on taking Venetia underground in 2013, a $2 billion project expected to extend the life of the mine to 2046 and produce around 94 million carats.

In Botswana, which accounts for more than 75 percent of De Beers’ total production, diamond production increased 12 percent year-over-year in the first quarter to 6.9 million carats, driven by planned treatment of higher-grade ore and the continued robust performance of the processing plant at the Orapa mine. 

 Related stories will be right here … 

De Beers and the government of Botswana are in the midst of renegotiating their sales agreement, which originally expired at the end of 2020. The two parties have extended the deadline to reach a new agreement three times.

The current sales contract is set to expire in June.

Production in neighboring Namibia, meanwhile, was up 37 percent to 619,000 carats due to the continued output of the new marine mining vessel, the Benguela Gem.

In Canada, production rose 11 percent to 673,000 carats despite unplanned maintenance challenges, De Beers said.

De Beers’ release on its Q1 production results repeated what new CEO Al Cook said earlier this year—sightholders are pushing rough diamond purchases until later in the year because of economic uncertainty.

In volume terms, rough diamond sales have totaled 9.7 million from three sights so far this year compared with 7.9 million carats from two sights in the first quarter 2022, and 7.3 million carats from two sights in the fourth quarter 2022.

De Beers said its production guidance for the year remains unchanged at 30 million to 33 million carats, down from the 34 million carats it mined in 2022.

The Latest

Alexandra Rosier gold and opal Eternal Love Hands necklace
TrendsJun 02, 2023
Take a Peek at Couture’s Newest Design Talents

This year’s Design Atelier is full of gems.

Saboo Fine Jewels emerald and titanium earrings
CollectionsJun 02, 2023
Piece of the Week: Saboo Fine Jewels’ Emerald Earrings

They’re a testament to the power of excellent design.

Holly Wesche, Stan Razny, Ingrid Razny, Candy Udell
IndependentsJun 02, 2023
These Are the 2023 Retailer Hall of Fame Inductees

This year’s honorees include one of Florida’s largest independent jewelers and two multi-store independents in the Chicago and New York areas.

LAB230043_Dossier_NJ_1872x1052_V1.jpg
Brought to you by
The Next Step for GIA Diamond Reports

The most trusted diamond report, available in print or the GIA App.

Jane Taylor letter pendants
TrendsJun 01, 2023
See 50+ Jewels Debuting at Couture in Las Vegas

The industry’s most influential contemporary designers are showcasing their latest jewelry designs.

Weekly QuizJun 02, 2023
This Week’s Quiz
Test your jewelry news knowledge with this short test.
Take the Quiz
35-carat lab-grown diamond created by Maitri
Lab-GrownJun 01, 2023
35-Carat Lab-Grown Diamond Going on Display in Vegas

Created by Maitri Lab-Grown Diamonds and graded by IGI, it’s slightly bigger than the record-setting lab-grown diamond GIA just examined.

Bottom Line Marketing Chief Growth Officer Gus Garcia and CEO Jackie Brooks
MajorsJun 01, 2023
Bottom Line Marketing Announces Restructured Leadership, New Service Offerings

The marketing agency has integrated its first C-suite.

Cover-WN19-Back-&-Front_V5-RGB-(1)_Community.jpg
Brought to you by
Beyond Borders: Crucial Factors in Colored Stone Origin Determination

Navigate origin determination with Continuing Education seminars offered by the GIA Alumni Collective™.

20230306_JohnnyCupcakes.jpg
Events & AwardsJun 01, 2023
Meet JCK’s 2023 Keynote Speaker

The jewelry trade show also will debut educational content centered around social media.

Lauren K gold and gemstone rings
TrendsMay 31, 2023
Here’s a Sneak Peek of New Jewelry to Check Out at JCK

Luxury kicks off today, with the full show in swing on Friday.

A pearl pendant and a pearl ring
CollectionsMay 31, 2023
Verragio’s Debut Fine Jewelry Collections Honor Company Heritage

One of the three new collections was inspired by the legend of a woman who traded her mansion to Cartier for two strands of natural pearls.

Rob Ballew
MajorsMay 31, 2023
Signet Jewelers Names New Head of Investor Relations

Rob Ballew will be tasked with communicating the jewelry giant’s plans and financial performance to investors.

Mobile mock-up screens of the new LUX Digital Vault app from Jewelers Mutual Group
MajorsMay 31, 2023
Jewelers Mutual Launches App for Retailers, Introduces New Brokerage

With the app, customers receive a 15-day insurance offer on new purchases while their coverage needs are being evaluated.

Rendering of Lightbox lab-grown diamond store in House of Showfields
Lab-GrownMay 30, 2023
Lightbox Is Testing Out a Trendy Concept Shop in Brooklyn

It is in House of Showfields, a bazaar-style retail space in the borough’s Williamsburg neighborhood.

Attendees at the JCK Las Vegas show
Events & AwardsMay 30, 2023
These Are the Can’t-Miss JCK Talks Education Sessions

From consumer trends to retail technology, these are the JCK Talks sessions that should be on attendees’ radar.

Constance “Connie” Barber Mellon’s David Webb Elephant Clip-Brooch
AuctionsMay 30, 2023
Sotheby’s to Auction Mellon Family Jewelry

Signature pieces from Cartier and David Webb will appear in the June jewelry auction.

Georgie Gleim, Shelly Sergent, and Molly Peterson
Events & AwardsMay 30, 2023
24 Karat Club of Southern California Recognizes 3 Honorees

They will be celebrated at the annual dinner dance and gala in the fall.

Historic and modern photos of diamond grading GIA
GradingMay 26, 2023
State of the Diamond Industry: AI and the Future of Diamond Grading

Gemologists have long used machines in diamond grading but technology has made it possible for them to “learn” how to do it on their own.

Supplier Spotlight Webinar John Pollard and Garry Holloway
Recorded WebinarsMay 26, 2023
Watch: Diamond Cut Quality: The Final Frontier Part 2

Supplier Spotlight Sponsored by IGI

My Next Question webinar series episode on selling lab-grown diamonds
Recorded WebinarsMay 26, 2023
Natural and Lab-Grown Diamonds: What It’s Like to Sell Both

Watch retailers Jeffery Bolling and Bobby Bengivengo discuss employee training, customer education and the sticky subject of future value.

Models wearing Calvin Klein watches and jewelry
FinancialsMay 26, 2023
Movado Sales Slip in Q1 Amid Inflation Woes, Tough Comps

The company has plans to revamp the Movado brand and offer less expensive watches this year.

Bulgari necklace set with 118.35-carat unheated Sri Lankan sapphire
AuctionsMay 26, 2023
Piece of the Week: A Bulgari Sapphire and Diamond Necklace

Set with a 118-carat unheated Sri Lankan sapphire, it just sold for $3.4 million at Phillips jewelry auction in Hong Kong.

noamcarver-videoimage.png
Supplier BulletinMay 25, 2023
RAE Fine Jewelry Collection Debuting at JCK Luxury 2023

Sponsored by Noam Carver

Graphic of phishing scheme
TechnologyMay 25, 2023
State of Retail: Why Jewelers Need to Invest in Cybersecurity Now

As cybercrime incidents threaten the industry, jewelers need to know what they’re up against and the best ways to protect their businesses.

Louis Anthony Jewelers remodeled exterior
IndependentsMay 25, 2023
Louis Anthony Jewelers Is Remodeling and Expanding

The Pittsburgh jeweler is redoing the lighting and showcases, and adding a full hospitality bar as well as new shop-in-shops.

Stanley Zale new principal consultant Hill & Co.
MajorsMay 25, 2023
Stanley Zale Joins Hill & Co. as Principal Consultant

Zale has more than 40 years’ experience in the diamond industry, including 17 years as Stuller’s VP of diamonds and gemstones procurement.

 Welcome to Fabulous Las Vegas Nevada sign
Events & AwardsMay 24, 2023
New To-Dos in Las Vegas During Jewelry Market Week 2023

The Strip is full of new restaurant and entertainment offerings.

×

This site uses cookies to give you the best online experience. By continuing to use & browse this site, we assume you agree to our Privacy Policy