Sales Strengthen at Canada’s Ekati Diamond Mine

Revenue from the Ekati deposit’s rough production surged during the fourth quarter as demand strengthened, according to owner Burgundy Diamond Mines.

Sales from the Canadian mine rose 40% to $170 million for the period from October 1 to December 21, compared with $121 million for the corresponding period a year earlier, Burgundy reported Thursday. Sales volume jumped 55% to 2 million carats, up from 1.3 million carats a year before. Burgundy reported these figures as sales to date for the quarter, which ends December 31.

“The sales results achieved for the fourth quarter demonstrate the strength of the Ekati asset performance [and] the value of Canadian provenance,” said Burgundy CEO Kim Truter. “The market is also showing resilience and the benefit of stronger-than-expected retail sales as well as the responsible actions taken by the industry to manage the supply chain. We are confident in the strength of the natural-diamond industry fundamentals where long-term demand is expected to outstrip supply.”

Burgundy purchased Ekati from Arctic Canadian Diamond Company for $136 million in March.

The miner sold all of its available rough-diamond inventory during the fourth quarter except for stones over 10.8 carats, which it sells through special auctions throughout the year, it added.