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ALROSA group produces 7.5 mln carats of rough diamonds in Q1

At the meeting held on May 24, 2013 ALROSA’s Executive Committee considered the management reporting on the implementation of the Company’s consolidated budget for the first quarter of 2013.


The Company’s mining subdivisions reached the target in the reporting period with the rough diamond output by ALROSA Group of some 7.48 million carats.

Against the background of the decreased supply by global producers, the increased demand on the rough and polished diamonds market in the first three months of the year allowed ALROSA to achieve high rates in rough diamond sales. The aggregate sales of rough and polished diamonds by ALROSA Group in the first quarter of 2013 amounted to some USD 1.215 billion that is 5% above the same parameter in the first quarter of 2012.

Having insignificantly adjusted rough diamond prices in the first quarter, ALROSA fixed the current level of the cost of rough diamonds being sold. The Company’s conservative pricing policy is conditioned by the necessity of maintaining a moderate demand on the diamond market formed by April 2013.

In the first quarter investments in the fixed assets amounted to some RUB 4 billion, with some RUB 1.8 billion in the construction of the underground mines Mir, Aikhal, and Udachny.

The budget of ALROSA’s geologic and onsite exploration operations in the reporting period amounted to RUB 1.33 billion. Due to exploration on the mines in operation and those being prepared for operation, the assured summary reserves increment in the same period amounted to 13.6 million carats.

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