The need for significant capital investments will be the main trend in the diamond mining industry in 2021-2030

The prospects of the diamond industry in the post-crisis period are discussed by the Rough&Polished correspondent with Sergey Mityukhin, Candidate of Geological and Mineralogical Sciences, Honored Geologist of the Russian Federation.

06 july 2020

Young Diamantaires: We create initiatives for the benefit of diamond communities worldwide

The World Federation of Diamond Bourses recently launched its Young Diamantaires website. The organization has worked for the past four years with young members of the diamond community all over the world to create a platform through which they can express...

29 june 2020

Those who implement the right anti-crisis strategies have more chances

It is not surprising that because of the pandemic and the crisis, the most heated debate in the jewellery industry is about what is happening and the possible ways of survival. Irina Slesareva, an expert, art director of the Russian Diamond Line contest...

22 june 2020

The secondary diamond market in Russia is not mature although its prospects are huge

Pavel Barannik, the founder and head of the Moscow Gemological Laboratory, the founder of the Gemological Institute and President of the Moscow Diamond Club, graduated from the Gemological Institute of America (GIA). He is an expert and consultant...

15 june 2020

Johan Erikson: The industry needs to spend more on advertising and marketing

First Element is a fully independent Diamond Services Company registered in Belgium, Botswana, South Africa and Dubai. First Element is committed to providing a world class diamond service aimed at adding value to the entire supply chain, from the daily...

08 june 2020

Rio Tinto not to pursue control of Diavik Mine

18 june 2020
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Image credit: Rio Tinto


Australian-British Rio Tinto has ceased speculation about the possible acquisition of Dominion Diamond Mines' 40% share in the Diavik mine in Canada's Northwest Territories, which would become wholly-owned by the world's leading mining company, according to the Diamond Loupe.
Rio Tinto controls 60% stake in Diavik.
In 2019, Diavik processed 6.7 million carats of diamonds, but the mine’s life span will be over in 2025, with cleanup costs estimated at $365.3 million.
On June 16th, Dominion sued Rio Tinto's subsidiary, Diavik Diamond Mines Inc. (DDMI) for alleged breach of contract and actions contrary to the interests of the partnership. DDMI manages the Diavik mine, while Dominion covers its 40 percent share of the costs. Partners sell their shares of mined diamonds separately.
“DDMI has continued to maintain full operations at the Diavik mine without taking into account the disruptions to the diamond industry caused by the COVID-19 and, in particular, without taking into account Dominion’s circumstances,” the suit alleges. “DDMI has done so knowing that Dominion has no ability to pay for such cash calls because it cannot materially monetize diamond inventories to pay for them,” it notes.
Paul Zimnisky, an independent diamond analyst in New York, told CBC News that rough diamond prices fell another 10% due to the COVID-19 pandemic. 
In general, according to Zimniski’s forecasts, global diamond production will fall by 25% this year.

Alex Shishlo, Editor of the Rough&Polished European Bureau