Rio Tinto’s diamond output rose in the fourth quarter as the company continued to ramp up production following a temporary closure to deal with ground sinkage, and the move to underground mining at a major pit.
Total output climbed 18% year on year to 775,000 carats for the three months that ended December 31, Rio Tinto said Thursday. The miner completed the first phase of development in the move to underground mining at its A21 open pit, which finished production at the end of 2023. It is now leveling up processing to reach commercial production in that area.
Additionally, the company continued to ramp up production at other areas of the deposit, which it was forced to shutter temporarily in July due to subsidence, or a caving of the ground, which made it unsafe. Carat recovery was also up 43% from the previous quarter.
For the full year, output slipped 17% to 2.8 million carats, as total ore processed fell 25% to 1.3 million carats.
Diavik is Rio Tinto’s sole diamond mine since Australia’s Argyle deposit closed in November 2020. The miner’s share of Diavik increased from 60% to 100% in November 2021, when it assumed control of the asset after its joint-venture partner, Dominion Diamond Mines, was unable to pay its share of upkeep. Last year, Rio Tinto also sold its 75% share of the Fort à la Corne diamond-exploration project in Saskatchewan to joint-venture partner Star Diamond Corporation, in an effort to focus on metals and minerals. The Australian miner operates a diamond-exploration program in Angola.
Rio Tinto has shelled out $40 million to move into underground mining at the A21 portion of Diavik. The company believes the step could add more than 2 million carats of rough production and keep the mine in operation until the first quarter of 2026.
Meanwhile, the company did not provide production guidance for 2025.
Image: The Diavik mine. (Rio Tinto)
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