Rio Tinto Reports Sharp Rise in Diamond Production at Argyle in Q2

In the first half of the year, output rose by 20% to 7.37 million carats. Rio Tinto will hold a tender in Israel from August 25 to 29 in a specially built tenders area in the Trading Hall.

Rio Tinto reported a 47% increase in diamond production in the second quarter of 2013 to 4.135 million carats, reported Rio Tinto. The increase was a result of "increased tonnes processed and higher grades from the underground mine at the Argyle mine which was commissioned in April 2013."

There was an 87% increase in diamond production at the Argyle mine in Australia to 3.13 million carats in the second quarter of 2013, reported Rio Tinto. The total ore that was processed at the mine rose by 16% to 1.929 million tones.

At the Diavik mine in Canada, where the firm owns a 60% stake, it reported a 13% drop in output in the second quarter due to lower grades of ore mined 936,000 carats due to a lower grade of ore in the quarter.

Rio Tinto added that the move to a fully underground operation at Diavik was successfully completed in June, with output from all three kimberlite pipes underway. At the Murowa mine in Zimbabwe, there was a 21% increase in output to 69,000 carats. Rio Tinto has a 78% interest in the operation.

In the first half of the year, output rose by 20% to 7.37 million carats. Rio Tinto anticipates that by the end of the year production will be 15.7 million carats compared to 13.122 million carats in 2012.

Rio Tinto Diamonds, one of the world's leading rough diamond producers, recently announced the firm will for the first time in its history, hold a viewing for its rough diamonds from the Diavik mine in Israel. The tender will be held during the summer edition of the US & International Diamond Week in Israel, August 26-29, 2013.

Rio Tinto said its "decision to conduct viewings in Israel is an endorsement of the strength of the Israel diamond market. Rio Tinto Patrick Coppens, General Manager of Sales for Rio Tinto Diamonds, said: "This is a unique opportunity to engage with the Israeli diamond industry and in doing so increase the understanding, awareness and visibility of the unique Diavik production and Rio Tinto Diamonds' sales processes in the Ramat Gan market."

Yair Sahar, President of the Israel Diamond Exchange (IDE), who worked relentlessly to bring Rio Tinto's rough tenders to Israel, congratulated Rio Tinto on the decision. "It comes on the heels of Rio Tinto's announcement that it will retain its diamond mining business. We certainly hope this will be a first out of many future cooperative initiatives between Rio Tinto Diamonds and the Israeli diamond industry and trade."

Sahar emphasized that the rough diamond viewing was but one of a variety of rough and polished diamond tenders and auctions that would take place during the August edition of the US & International Diamond Week in Israel. "Stay tuned, we will announce these additional events very soon," the IDE President promised.

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