Small Stones Dent Mountain Province Sales

Revenue at Mountain Province slipped in 2023 amid the sale of a higher proportion of small diamonds and a drop in the average price.

Revenue for the miner fell 18% to $243.7 million last year after “a finer assortment of goods held back from previous quarters were sold during the fourth quarter,” CEO Mark Wall said Tuesday. “The addition of these goods…resulted in a lower average value per carat sold…relative to prior quarters.”

Sales volume rose 2% to 2.7 million carats, while the average price dropped 20% to $90 per carat, the company reported.

Wall also pointed to India’s two-month moratorium on diamond imports — which ended December 15 — as affecting sales.

The firm recovered 5.6 million carats from the Gahcho Kué mine in Canada last year, at the lower end of its guidance of 5.6 million to 6.1 million carats. The figures encompass all production at the mine, including the 51% share belonging to joint-venture partner De Beers. Mountain Province owns the remaining 49%.

In the fourth quarter, output came to 1.6 million carats, 3% lower than a year earlier. Sales for the October-to-December period fell 17% to $58.9 million. A 32% drop in the average price to $64 per carat outweighed a 21% rise in sales volume to 917,757 carats. “Regarding the rough-diamond market, the market is now reopened, and we continue to monitor it closely to maximize value from our sales pipeline,” Wall added.