De Beers Diamond Production +2% in Q1; Full Year Production Guidance Down

(IDEX Online News) – De Beers’ diamond production increased 2 percent in the first quarter of 2015 to 7.7 million carats compared to Q1 2014. Anglo American said that the production increase was driven primarily by higher grades at the Venetia mine in South Africa.

The company said that De Beers’ full year production guidance has been reduced from 32 to 34 million carats to 30 to 32 million carats, owing to current trading conditions.

Production at DBCM (South Africa) increased 14 percent to 1.1 million carats. This was as a result of higher overall grade at Venetia, due to the commissioning of the Red Area Tailings Treatment (RATT) plant in mid-2014. The RATT processes higher average grade, lower value material than run-of-mine ore from the pit.

In Botswana, Debswana’s production decreased 2 percent to 5.6 million carats due to a decline in grade at Orapa. However, this decline was largely offset by an increase in throughput at both Jwaneng and Orapa.

The company said that production from its Canadian mines increased by 25 percent due to productivity improvement initiatives at both Snap Lake and Victor.

Production decreased 8 percent compared to the final quarter of 2014 owing to the planned change in mining area at Venetia, along with a focus on waste mining at Jwaneng.