20th Dec 2023 07:47
(Alliance News) - Anglo American PLC on Wednesday reported that annual rough diamond sales at De Beers crashed, but the strong monthly performance indicated that stock levels are stabilising in the diamond industry.
The London-based mining company said provisional rough diamond sales value for the tenth sales cycle of 2023 plunged to USD130 million, from USD417 million in the same cycle last year.
On a monthly basis, however, sales surged 51% from USD86 million in the ninth cycle in 2023.
The provisional rough diamond sales figure quoted for cycle 10 represents the expected sales value for the period between November 9 and December 19, and remains subject to adjustment based on final completed sales.
Cycle nine 2023 actual sales value represents sales between October 4 and November 3.
"In the final sales cycle of 2023, De Beers continued to offer lower levels of rough diamond supply, in line with current demand," De Beers Chief Executive Officer Al Cook said.
As the end-of-year holiday season progresses, the company is seeing signs that the diamond industry is regaining its balance between wholesale supply and demand.
"Polished diamond prices look to have stabilised as inventory levels have decreased, though we expect improvements in rough diamond trading conditions to be gradual," he cautioned.
Anglo American owns 85% of diamond miner and dealer De Beers.
Anglo American shares rose 1.4% to ZAR445.22 in Johannesburg in early dealings, before the London market open.
By Artwell Dlamini, Alliance News reporter
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