De Beers mined 7.012 million carats of diamonds in the first quarter of 2010, according to an Anglo American plc production report released today (Thursday). The diamond production represents a 548 percent increase from the first quarter of 2009 and a 31 percent decline from the December 2009 ending quarter.
Anglo American, which holds a 45 percent stake in De Beers, reported that diamond sales in the first quarter of 2010 were nearly three times higher than the same period of 2009, at the height of the global financial crisis.
Diamond production in the quarter ended March 31, was increased to meet strengthening market demand, according to Anglo American. The rise in sales followed re-stocking in the pipeline, improving U.S. consumer confidence and continued strong growth in China and India.
Compared to the fourth quarter of 2009, heavy rainfall in Southern Africa imposed operational challenges, while production at De Beers’ Canadian operations was “favorable,” the company added.
De Beers’ shareholders are Anglo American, the Oppenheimer family (40%) and Botswana (15%).
Courtesy- Edahn Golan, Idexonline