Debswana revises its production for 2016

Debswana has revised its production for 2016 to 20 million carats to match expected levels of demand for rough. This decision comes in the backdrop of the market situation since the start of 2015, wherein the diamond industry experienced a number of challenges leading to abnormally high pipeline inventories of polished diamonds, resulting in lower demand for Debswana’s rough diamonds.

This, the company notes will be achieved by producing more from Jwaneng Mine which is a high value, low cost asset and which will produce around 12 million carats. Production from Orapa, Letlhakane and Damtshaa Mines (OLDM) will be reduced and produce around eight million carats.

To achieve this reduction at OLDM, Damtshaa Mine will go onto a care and maintenance programme. Furthermore, Orapa Mine Plant 1(One) will produce approximately one million carats whilst maintaining plant readiness for an upswing in production should it be required.

The company stated it is making efforts to preserve jobs by re-deploying affected employees to other parts of the business.