Gaborone: Anglo American said De Beers’ rough diamond production leaped 21 percent to 16.1 million carats during the first half of the year compared with 13.3 million carats, a year earlier, in line with the higher production forecast for 2017.

It said Debswana increased its production by 6 percent to 11.1 million carats from 10.5 million carats in the first half of 2016.

“Production at Orapa increased by 22 percent, driven by the ramp-up of Plant 1, following its having been on partial care and maintenance in response to trading conditions in late 2015, together with higher grades,” it said.

“This was marginally offset by Jwaneng, where production decreased 6% owing to lower grades. First ore from Jwaneng Cut-8 was extracted and processed in June 2017. Cut-8 will become Jwaneng’s main source of ore from 2018.”

Namdeb Holdings in Namibia produced 900 000 carats, a 17 percent jump from 700 000 carats, a year earlier, mainly due to production recovering following Debmarine Namibia’s Mafuta vessel having been on extended planned in-port maintenance in the second half of 2016.

In South Africa, production leaped by 43 percent to 2.5 million carats from 1.8 million carats in the first half of 2016 as a consequence of higher grades at Venetia.

“Construction of the Venetia Underground mine continues to progress, with the underground operation expected to become the mine’s principal source of ore from 2023,” said Anglo.

“In June 2017, the annual section 74 export levy exemption for DBCM was renewed until March 2018.”

Production in Canada also increased to 1.6 million carats from 300 000 carats during the first half of 2016 due to the ramping up of Gahcho Kué, which entered commercial production on 2 March 2017.

“Production at Victor increased by 21 percent to 0.4 million carats as a result of higher grades. At Snap Lake, flooding of the mine, which commenced in January 2017, is now complete, thereby minimising holding costs while preserving the long-term viability of the orebody,” it said.

Meanwhile, Anglo said macro-economic conditions underpinning consumer demand for polished diamonds globally remained supportive of marginal demand growth in 2017.

The extent of global growth, however, would be dependent upon a number of macro-economic factors, including the effect of US and China government policies on exchange-rate movements, it said.

Anglo said midstream demand for rough diamonds was expected to depend on the strength of different markets’ restocking requirements.

It said De Beers’ diamond output was expected to remain in the range of 31-33 million carats, subject to trading conditions.