The De Beers Group of Companies announced yesterday that its total rough diamond production for the quarter ended December 31, 2016 (Q4 2016) amounted to 7.752 million carats. This represents a 10% increase compared to 7.052 million carats recovered in the same period of the previous year.

“Rough diamond production increased by 24% compared with Q3 2016 as a result of higher production at Orapa, higher grades at Venetia and the ramp-up of Gahcho Kué,” the Company added. (Production for Q3 2016 stood at 6.273 million carats.)

The Company attributed the increase to the fact that production in Q4 2015 was decreased in response to “trading conditions”. The Company added: “The increase also reflected the ramp-up of Gahcho Kué.”

Within the group, Debswana (Botswana) accounted for the highest production. Total rough diamonds recovered by Debswana amounted to 5.440 million carats compared to 4.749 million carats recovered in Q4 2015, marking a rise of 15%.  “At Jwaneng, production increased 40%, partly offset by Orapa, which decreased by 6%, and Damtshaa (a satellite operation of Orapa), which was placed on care and maintenance from 1 January 2016,” the Company elaborated.

DBCM (South Africa), saw a marginal fall (-5%) in production to 1.387 million carats, from production of 1.459 million carats recorded in the same period f the previous year. This, the Company explained, was “mainly due to the sale of Kimberley Mines in January 2016, partly offset by an increase of 18% at Venetia due to the processing of higher grades”.

Namdeb Holdings (Namibia) recorded a production growth of 6% to 0. 428 million carats from 0.405 million carats recovered in Q4 2015; which was attributed to “increased material processed by the Debmarine Namibia fleet”.

De Beers Canada recovered 0.497 million carats of rough diamonds, an increase of 13% over production of 0.439 million carats recorded in Q4 2015. The rise in Canada’s production was “driven by the ramp-up at Gahcho Kué”, the Company said. “This was partially offset by Snap Lake being placed on care and maintenance in December 2015,” De Beers elaborated. “The ramp-up of Gahcho Kué continues to progress, with commercial production expected to be reached during Q1 2017.”

Total rough diamond sales volumes for the full year reached 32.0 million carats (30.0 million carats on a consolidated basis) marking an increase of 55%. “The increases reflect the improved trading conditions from those experienced in H2 2015,” the Company stated.

Further, De Beers explained: “For the full year, the average realised price of US$ 187 per carat was 10% lower than in 2015, reflecting the lower average rough price index, which was down 13%, partially offset by a stronger sales mix.”play time