De Beers Q1 2019 slides by 8%

Rough diamond production

decreased to 7.9 million carats!

Production guidance for

full year is of 31-33 million carats

Rough diamond production decreased by eight per cent to 7.9 million carats & that remained driven by a reduction in South Africa (DBCM).

Production at Botswana (Debswana) increased by two per cent to 6.0 million carats. This was driven by Jwaneng production increasing as planned by 12 per cent to 3.3 million. Orapa2production decreased by seven per cent as a result of a plant shut down in the period.

Namibia (Namdeb Holdings) production decreased by nine per cent to 0.5 million carats. This was driven by the land operation transitioning Elizabeth Bay to care and maintenance. Debmarine Namibia production was in line with Q1 2018 at 0.4 million carats.

 

South Africa (De Beers Consolidated Mines) production reduced by 65 per cent to 0.4 million carats due to lower mined volumes at Venetia as it approaches the transition from open pit to underground. Voorspoed was placed onto care and maintenance in Q4 2018 in preparation for closure.

Canada production reduced by three per cent to 1.0 million carats due to planned lower grades at Gahcho Kué.

At sales front, rough diamond sales volumes were 7.5 million carats (7.2 million carats on a consolidated basis3) from two sales cycles compared with 8.8 million carats (8.4 million carats on a consolidated basis3) from the same number of sales cycles in Q1 2018 as overall demand for low value rough diamonds remained subdued in the quarter.

Production guidance for full year yet remains unchanged at 31-33 million carats, subject to trading conditions.