In the first quarter this year, the company clocked an increase in diamond production at both its Argyle and Diavik mines.
The Argyle mine delivered a 5 percent increase (on y-o-y basis) to 3,391 million carats. The company attributed this to the increased underground volumes. In comparison to the last quarter of 2015, the Argyle mine’s production rose a marginal 1 percent.
At its Diavik mine, Rio Tinto recovered 1,131 million carats, up 26 percent (on y-o-y basis), which it noted was due to higher mining rates, availability of stockpiled ore and higher grades recovered. Production was also 26 per cent higher than the fourth quarter of 2015 following the processing pause late in 2015.
Rio Tinto’s expected share of diamond production in 2016 is unchanged at 21 million carats.
Rio Tinto chief executive Sam Walsh said “These results demonstrate our commitment to operational excellence in 2016.” He further noted, “However, we continue to experience volatility in commodity prices across all markets. In the face of a testing external environment, our focus remains on delivering further cost and productivity improvements, disciplined capital management and maximising free cash flow, to ensure that Rio Tinto remains strong.”
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