• 826 days Will The ECB Continue To Hike Rates?
  • 826 days Forbes: Aramco Remains Largest Company In The Middle East
  • 828 days Caltech Scientists Succesfully Beam Back Solar Power From Space
  • 1,228 days Could Crypto Overtake Traditional Investment?
  • 1,233 days Americans Still Quitting Jobs At Record Pace
  • 1,235 days FinTech Startups Tapping VC Money for ‘Immigrant Banking’
  • 1,238 days Is The Dollar Too Strong?
  • 1,238 days Big Tech Disappoints Investors on Earnings Calls
  • 1,239 days Fear And Celebration On Twitter as Musk Takes The Reins
  • 1,241 days China Is Quietly Trying To Distance Itself From Russia
  • 1,241 days Tech and Internet Giants’ Earnings In Focus After Netflix’s Stinker
  • 1,245 days Crypto Investors Won Big In 2021
  • 1,245 days The ‘Metaverse’ Economy Could be Worth $13 Trillion By 2030
  • 1,246 days Food Prices Are Skyrocketing As Putin’s War Persists
  • 1,248 days Pentagon Resignations Illustrate Our ‘Commercial’ Defense Dilemma
  • 1,249 days US Banks Shrug off Nearly $15 Billion In Russian Write-Offs
  • 1,252 days Cannabis Stocks in Holding Pattern Despite Positive Momentum
  • 1,253 days Is Musk A Bastion Of Free Speech Or Will His Absolutist Stance Backfire?
  • 1,253 days Two ETFs That Could Hedge Against Extreme Market Volatility
  • 1,255 days Are NFTs About To Take Over Gaming?
The Lumber Bubble Is Bursting

The Lumber Bubble Is Bursting

Lumber prices have skyrocketed in…

Can Canada Revitalize Its Mining Industry?

Can Canada Revitalize Its Mining Industry?

Canada ranks among the top…

Rio Tinto Vies To Become Top U.S. Lithium Producer

Rio Tinto Vies To Become Top U.S. Lithium Producer

Rio Tinto, the world’s No.…

Mining.com

Mining.com

Mining.com

MINING.com is a web-based global mining publication focusing on news and commentary about mining and mineral exploration. The site is a one-stop-shop for mining industry…

Contact Author

  1. Home
  2. Commodities
  3. Other

Major Diamond Mine Slashes Production

Diamond Mine

Angola’s Sociedade Mineira de Catoca, which operate the namesake diamond mine in the sub-Saharan Africa’s country, has reduced mining and processing operations as demand remains weak due to the global covid-19 pandemic.

The company has also postponed some investments and adjusted its operating expenses, according to a statement quoted by Novo Journal.

Endiama, the state diamond mining company that owns Catoca in partnership with Russia’s Alrosa (MCX: ALRS), says Angola now sees rough diamond output in 2020 at 2 million carats, compared to the 9.2 million carats it produced last year.

The figure represents a 5% reduction of global supply, which added to already suspended operations, means that 37% of the world’s diamond output is now halted.

“This partly eases pressure on prices on the market, in our view, though we believe that in the short term demand for roughs from midstream might fall more steeply,” Dmitry Glushakov, VTB Capital’s head of metals and mining research, said in a note on Thursday.

Angola is the world’s fifth diamond producer by value and no.6 by volume. Its industry, which began a century ago under Portuguese colonial rule, is successfully being liberalized.

Last year, the country held its first public diamond auction and since then, producers no longer have to sell at below-market prices to a handful of buyers favoured by the state.

Endiama recently revealed it was seeking international partners in an attempt to place Angola among the world’s top-three diamond producers.

Before the coronavirus pandemic crippled global markets, Angola planned to increase annual diamond production to 14 million carats in 2022.

By Mining.com 

More Top Reads From Safehaven.com:

Back to homepage

Leave a comment

Leave a comment