Mountain Province Sees Drop in Sales and Production

Mountain Province’s sales and production fell in the third quarter amid difficult trading conditions and maintenance work at its Gahcho Kué mine in Canada.

Sales value slid 58% year on year to $21.2 million for the three months that ended September 30, the company reported Thursday. Sales volume declined 40% to 409,081 carats, with the average price down to $52 per carat from $72 per carat a year earlier.

“The diamond market has remained constrained by the tariffs and related trade negotiations between the US and India,” said Mountain Province CEO Mark Wall. “Any near-term improvement in price largely depends on the US and India reaching a trade deal.”

Total output from Gahcho Kué dropped 16% year on year to 1 million carats for the quarter, with Mountain Province’s 49% share amounting to 490,434 carats. De Beers owns the remaining 51% of the mine. A five-day shutdown occurred at the deposit in September for scheduled maintenance.

As a result, the company reduced its full-year production outlook to a range of 4 million to 4.2 million carats, compared with a previous guidance of 4.3 million to 4.7 million carats.

Image: A haul truck at the Gahcho Kué mine in Canada. (Mountain Province)