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15 posts from March 2014

Analyzing the world's 50 largest diamond mines | Resource Investor

Based on the analysis below, 135 million carats of rough diamonds, valued at $17.8 billion, will be mined in 2014, which would represent an increase of approximately 3% over 2013 estimates. The 50 mines itemized below are estimated to account for 90% of global rough diamond supply in 2014, with the balance coming from private or small-scale operations, where production data is unreliable or not available at all.

Image 1: Rough diamonds at the Mirny Sorting Center, Republic of Sakha, Russia. Source: ALROSA.

The Marange diamond fields, a 300 square-mile alluvial deposit in Zimbabwe, was ranked the worlds largest source of diamonds in 2013 in terms of total carats produced, estimated to have produced almost 17 million carats or 13% of global supply. However, It appears that 2013 production levels will not be sustained in 2014 as grades have decreased and easily minable loose gravel has been rapidly depleted leaving more difficult-to-mine conglomerate stone. While Marange is a relatively new project with formal mining commencing only 5 years ago, alluvial projects like Marange tend to have a much shorter life span than open-pit or underground diamond mines, as the economic resource is limited to the easily accessible surface stones; mining deeper solid conglomerate rock is not economic in a lot of cases. None of the 7 private companies operating in Marange provide specific production guidance, but representatives of the companies have publically expressed frustration with decreased operating economics resulting from depleted resource. In 2014, Marange production is estimated to drop to 8-12 million carats or less.

Image 2: Orapa processing plant 2. Source: De Beers Group.

In 2013, Botswana’s Orapa mine was the worlds largest diamond mine in terms of total value of carats produced. In 2014 Orapa is again estimated to be the worlds largest by value estimated to produce $1.9 billion worth of diamonds. In 2014, the Orapa mine is also estimated to be the worlds largest in terms of carats produced with 12.9 million carats. De Beers’ and Botswana’s joint venture portfolio, Debswana, realized a 17% increase in production in Q4 2013, highlighted by higher grades realized at Orapa and the Orapa One processing plant resuming operations following unplanned maintenance in Q3 2013.

Australia’s Argyle mine, known as the worlds largest producer of fancy colored diamonds, including elusive pink and red diamonds, is estimated to produce 12.6 million carats in 2014, making it the second largest diamond mine in the world in terms of carats produced. While Argyle has a history of producing some of the most precious colored diamonds in world, unpopular brown diamonds, most of which are classified as industrial quality, account for the majority of Argyle’s production making the mine’s average carat value produced among the lowest in the world.

Image 3: ALROSA’s Mir mine. Source ALROSA.

The Russian government-run super-major ALROSA has 9 primary diamond mines, 10 alluvial mines, and 2 mines in development, accounting for approximately 95% of all Russian diamond production. ALROSA’s mines represent 8 out of the top 15 largest producing diamond mines in the world in terms of carats produced. ALROSA’s Jubilee and Nyurbinskaya mines are both estimated to produce over 9 million carats in 2014 making them the fourth and fifth largest projects in the world according to 2014 projections.

Jwaneng, the second largest diamond mine in Botswana, is nearing completion of the Cut-8 expansion, which will extend the mine life to at least 2025. Cut-8 will provide access to approximately 95 million carats of high quality diamonds, making Jwaneng the most valuable diamond reserve in the world. Jwaneng successfully recovered from a slope failure in Q2 2012, and is estimated to produce over 9 million carats of diamonds worth $1.3 billion in 2014.

Image 4: The Jwaneng mine, Botswana. Source: Debswana.

Venetia, South Africa’s largest diamond mine, realized a production increase of 57% in Q3 2013, on higher volumes and grades following recovery from flooding earlier in the year. A plan to convert Venetia to an underground mine received environmental approval in October 2013 and the project build is scheduled to commence shortly, which will increase the mine life beyond 2040. Venetia is estimated to produce over 3.5 million carats in 2014 with production valued at over $500 million.

 

Lesotho, a landlocked country within South Africa, is home to the Letseng mine, which has a history of consistently producing the most valuable diamonds in the world on an average per-carat basis. Letseng is estimated to produce only 110,000 carats in 2014, but the average price of carat produced is estimated to be around $2,200, which is significant considering the global average price per-carat of rough produced is around $130.

Image 5: The Leseli La Letšeng is a 478 carat D color diamond that was recovered from Gem Diamond’s Letšeng mine in September 2008. It was sold via tender in Antwerp in November 2008 for $18 million. Source: Gem Diamonds Ltd.

2014 will mark the first full year of production at Russia’s Grib mine. Estimated to produce 4 million carats annually once fully ramped up, Grib has a reserve of approximately 75 million carats and a mine life of approximately 20 years. Currently owned by Russian oil-major LUKoil, the company has publicly expressed interest is selling the asset, which lies outside of the oil company’s core strategy.

Botswana’s Ghaghoo mine is expected to commence production in the second half of 2014. Once production is fully ramped up, Ghaghoo is estimated to produce 750,000 carats annually worth an estimated $200 per carat.

Image 6: Ghaghoo development. Source: Gem Diamonds Ltd.

The most anticipated diamond development project in the world, Canada’s Gahcho Kué, continues to move forward as permitting is expected to be approved in the second half of 2014, with mechanical completion of the processing plant and cold commissioning anticipated to start as early as 2015. Once fully ramped up, Gahcho Kué is estimated to produce 5 million carats of diamonds annually worth an estimated $185 per carat.

Top diamond mine chart


Figure 1: Global ranking of diamond mines by estimated 2014 production in terms of carats and dollar value.

via www.resourceinvestor.com


Bez Ambar Designer - Blaze Ring of Light

  Bez Ambar Blaze Ring of Light RingOne of our favorite designers, Bez Ambar, has designed and patented the Blaze cut diamond.  He is now introducing a several new lines of diamond rings, pendants, and earrings using this unique and beautiful diamond shape.

Blaze Video:  http://www.youtube.com/watch?v=k2lkCqnkck8

The "Ring of Fire" is a new design with Blaze cut diamonds for a round center from three to seven carats.  While the picture is great, the actual ring is beyond incredible.

The ring takes Blaze cut from .12 to .25 points depending on the center stone and can be made half way or all the way around.  Matching band is also available.

See More Bez Ambar Blaze Cut Diamond Designs…

See More Bez Ambar Designs at Diamond Source of Virginia…


Oval Cut Pendant: 52.21 tcw Ovals and 10.23 carat Pear Shaped Diamond

Necklace 52.21 tcw OV 10.23 Pear-2

The gorgeous diamond necklace has 41 graduated ovals brilliant cut diamonds (52.21 total carat weight, D/E color and at least SI1 clarity) and one pear shaped diamond (10.23 carat weight, D color, SI1 clarity) are prong-set in custom platinum basket-style necklace mounting.

The oval diamonds range from about 0.70 carat weight diamonds at the clasp, to one carat diamonds at the sides, increasing to two carat diamonds next to the five carat oval at the bottom. The extension part of the necklace includes a three oval segment that detaches form the main necklace and the pear shaped pendant that can be detached from the extension.

Necklace 52.21 tcw OV 10.23 Pear-4The main oval necklace can be worn with the five carat as the drop or can be worn with the extension and the 10.23 carat pear shaped diamond as the drop. The 10.23 carat pear shaped diamond can also be worn as a solitaire pendant attached to a chain or other style necklace. This design provides greater flexibility and allows the components to be worn at a variety of events and levels of formality.

Necklace 52.21 tcw OV 10.23 Pear-5The diamonds are all GIA graded diamonds with GIA laser inscriptions, handpicked for minimal bow ties and maximum brightness and sparkle.

 Each diamond has also been Gemprinted, meaning that each diamond has had its unique GEMPRINT� (optical "fingerprint" of the diamond) entered into the International Gemprint Registry.

 This is the type of world-class necklace that one would expect to see at the famous auction houses, on the red carpet worn by a celebrity, or in the showcases of the top international jewelers. We are proud that Diamond Source of Virginia could provide our client with this stunning necklace with high quality, exquisite beauty, and at a fraction of what a brand name luxury jeweler would charge.

via www.diamondsourceva.com


Bez Ambar Designer - Perfect Cross Pendant

Bez Ambar The Perfect Cross

One of our favorite designers, Bez Ambar, has a creative eye for new designs.

The “Perfect Cross” utilizes Baguette diamonds cut with extreme precision and set with outermost accuracy.  The Perfect Cross can be provided from 0.50 total carat weight (10 mm) to 1.10 total carat weight (15mm).  While somewhat expensive in compression to pave crosses, for those who are looking for a unique and more upscale version of this classic and conservative jewelry item, this seems to be the answer. 

See More Bez Ambar Diamond Pendant Designs…

See More Bez Ambar Designs at Diamond Source of Virginia…


Bez Ambar Designer - Blaze Principessa Ring

Bez Ambar Blaze PrincipessaOne of our favorite designers, Bez Ambar, has designed and patented the Blaze cut diamond.  He is now introducing a several new lines of diamond rings, pendants, and earrings using this unique and beautiful diamond shape.

Blaze Video:  http://www.youtube.com/watch?v=k2lkCqnkck8

The Principessa ring with small Blaze cut diamonds on the sides where pave would traditionally would be set, demonstrates how a new diamond shape can bring excitement and breathtaking beauty to a ring design.

See More Bez Ambar Blaze Cut Diamond Designs…

See More Bez Ambar Designs at Diamond Source of Virginia…


Bez Ambar Designer - Blaze Windows Diamond Band

Bez Ambar Windows Collection 3-rowOne of our favorite designers, Bez Ambar, has designed and patented the Blaze cut diamond.  He is now introducing a several new lines of diamond rings, pendants, and earrings using this unique and beautiful diamond shape.

Blaze Video:  http://www.youtube.com/watch?v=k2lkCqnkck8

The Blaze window band is still one of the best wide diamond bands in the diamond market.  The contrast between pave diamonds and the Blaze “windows” produces a spectacular look.

See More Bez Ambar Blaze Cut Diamond Designs…

See More Bez Ambar Designs at Diamond Source of Virginia…


Diamonds.net - Jewelry Ranks First as 'Investment of Passion' Among Ultra Wealthy

Bez-amber ringRAPAPORT... Jewelry is the top ''investment of passion''  for the world's wealthy this year, according to Knight Frank Research's ''The Wealth Report 2014.''  Art ranks second followed by watches, wine, diamonds, classic cars, photography, furniture, musical instruments, coins, stamps and ceramics.  However, there are regional nuances to the rankings.

Jewelry is the most collected investment of passion asset  for the wealthy in  Africa, Asia, Latin America, the Middle East and Russia, whereas jewelry ranks third in the Australasia region, behind art and classic cars and it ranks fourth in Europe behind wine, art and watches. In North America, jewelry as an investment of passion ranks third behind art and watches. 

Watches as an investment of passion fell into either second or third place for all regions except Australasia where it ranked sixth.

Diamonds as an investment of passion ranked fifth globally, placing third in Asia, taking fourth place for the wealthy investors in Africa, the Middle East and Russia, fifth place in Australasia and Latin America and sixth place for Europe and North America.

The popularity of each investment class varies greatly by region. Overall, art is the most popular asset  followed by wine, watches, cars, diamonds, jewelry and photography. However, the popularity of furniture, musical instruments, ceramics, coins and stamps is decreasing.

Knight Frank Research found that 36 percent of wealthy investors globally expect to increase their spending on luxury goods this year, with the great increase anticipated from the wealthy in Africa. Fifty-seven percent of wealthy will spend the same as they had in 2013. Only 7 percent anticipate spending less on luxury with the greatest decline coming out of Latin America.

Additionally, 61 percent of the wealthy claimed to seek investment of passion simply for ''personal pleasure,'' while 16 percent invested for capital purposes, 15 percent bought as a status symbol, 6 percent sought a safe haven and only 1 percent purchased for  fashion.

The Knight Frank Luxury Investment Index (KFLII), which measured performance of  collectable luxury asset classes noted that jewelry improved 2 percent year on year in 2013. However, the investment performance for the past five years has increased 46 percent and for the past decade it has increased 156 percent, according to the index.

Watches gained 4 percent in 2013, supporting a five year increase of 32 percent and a 10 year jump of 82 percent.

The Wealth Report compiled surveyed data that represented 23,000 ultra high-net-worth individuals (UHNWI) with an average net worth of $68 million. Knight Frank Research defined UHNWI as  someone with $30 million or more in net assets, excluding their principle residence.

   
 

via www.diamonds.net


Bez Ambar Designer - Ring of Fire Earrings

Bez Ambar Blaze Ring of Fire EarringsOne of our favorite designers, Bez Ambar, has designed and patented the Blaze cut diamond.  He is now introducing a several new lines of diamond rings, pendants, and earrings using this unique and beautiful diamond shape.

Blaze Video:  http://www.youtube.com/watch?v=k2lkCqnkck8

The “Ring of Fire” square earrings shown with square center illustrate how the Blaze cut diamonds merge perfectly with a larger diamond center.  The Blaze has fewer but bigger facets that match the size of the center stone's facets.  The Blaze facets generate sizeable splashes of fire that brighten up the center stone, blend with it and make it appear much larger.

See More Bez Ambar Blaze Cut Diamond Designs…

See More Bez Ambar Designs at Diamond Source of Virginia…