GJ Town India

Keep diamond trade out of politics!   Right with the announcement of Sanctions from the US & allies upon Russia, not only India but also the global diamond fraternity too; started assessing the scenario and if that can impact on diamond trade especially from Alrosa?   In the row, Nayan Jani asked a question to Alrosa. No doubt, as of today Alrosa do not see any major risk.   Jim Vimadalal, Director-Alrosa Company Limited said, “Alrosa is carefully studying the new working conditions in connection with the imposed sanctions.   We are doing our best to guarantee the integrity of our operations, trading activities and interaction with clients. The company intends to continue its work normally. We hope that the industry markets will stay strong during this global turbulence, and we will stay closely connected with our businesses throughout the whole world, based on the relationships that were strengthened over decades and through a lot of crises. We encourage ou...

Sold 185 rough of a total weight of 2,400 carats Sales 80% of total offered rough   Alrosa summed up results of online auction for special size rough diamonds. This format allows customers to review and evaluate rough diamonds remotely through the digital twin technology.   The December auction became this year’s fourth held online for special size (over 10.8 carats) diamonds. At the auction, Alrosa sold 185 rough diamonds with a total weight of 2,400 carats. The overall revenue amounted to $7 million. Clients from Belgium, India, Israel, Russia and UAE (33 companies in total) bought the goods. “The latest digital auction’s results show that our clients are increasingly using this format, having appreciated all its advantages and opportunities.  In 2020, we held four online auctions for rough diamonds larger than 10.8 carats. We are happy to note that this format, despite being rather new, wins the customers’ trust, as at the December auction they bought 80% of good...

The shareholders of PJSC Alrosa elected a new Supervisory Board of the company and made a number of other decisions at the annual general meeting. At the meeting, held in absentia on June 24, 2020, the Supervisory Board of PJSC Alrosa was elected as follows: 1. Gordon Maria Vladimirovna (independent director) - member of the Supervisory Board of PJSC Moscow Exchange, member of the Board of Directors of PJSC Polyus; 2: Grigoryeva Evgenia Vasilievna - until April 30, 2020, the Minister of Property and Land Relations of the Republic of Sakha (Yakutia). 3: Gurieva Natalya Filippovna - acting Deputy Head of Administration of the Municipal District Verkhnevilyuysky ulus (district) of the Republic of Sakha (Yakutia), 4: Dmitriev Kirill Aleksandrovich - CEO of the Management Company of the Russian Direct Investment Fund (JSC). 5: Donets Andrei Ivanovich - First Deputy CEO of ANO Agency of the Far East for Attracting Investments and Export Support, 6: Ivanov Sergey Sergeevich – ...

Tender taking place between May 15 and 29, 2020 Alrosa offered an option to its long-term customers to buy rough diamonds through its digital platform amidst limited business travel due to Covid-2019 pandemic related restrictions. At the digital tender taking place between May 15 and 29, 2020, the company offers over 800 rough diamonds from 5-10 carats batches. The offered volume is the largest Alrosa has ever put on a digital tender. The company provides detailed information on each diamond for remote evaluation. Clients logged to their personal online account get full digital scans of auctioned stones, including data on their external shape, inclusions, color, fluorescence, as well as photos.   For clients’ convenience, the company has significantly upgraded its trading system as well as online services. Every lot has a separate web page with all its characteristics. Given a large number of lots, clients have an opportunity to upload their bids for individual ...

Alrosa, the 4 th Top among   Global mining companies! Alrosa, the world’s largest diamond mining company, ranked fourth globally and first in Russia among mining companies by total shareholder return (TSR) in the 2019 Value Creators report, a ranking compiled by The Boston Consulting Group (BCG). TSR is a key metric that shows the return to a company's shareholder, combining share price movements and dividends paid. The 2019 Value Creators ranking covers companies whose capitalisation exceeds USD 3.5 bn. According to the BCG analysts, Alrosa delivered an average TSR of 29.9% over the five years from 2014 through 2018, well above the industry’s median of 3.1%. The Value Creators Rankings have been published annually since 1999. This year, it covered around 2,250 companies that trade at least 20% of their shares in public capital markets and have been listed on a world stock exchange for the last five years. The companies are organised into 33 industry groups an...

Alrosa sales exceeded production by 35% in Q1 Alrosa, the world’s leader in diamond mining, announces its IFRS financial results for Q1 2019 & says, revenue increased by 15% q-o-q to RUB 70 bn, mainly driven by strong sales volumes (up 18% q-o-q). The sales exceeded production by 35% due to increased sales of smaller-size diamond from inventories as polishers’ restocked early in 2019. Y-o-y revenue declined by 27% owing to a higher share of small-size rough gem diamonds in sales and lower sales in carats (down 21% y-o-y). Ebitda grew by 16% q-o-q to RUB 31 bn, supported by top line growth. On a y-o-y basis, Ebitda decreased by 34% as revenue declined. • Ebitda margin remained flat q-o-q at 44% (down 5 pp y-o-y). Free cash flow went up by 81% q-o-q to RUB 26 bn due to a 40% higher operating cash flow q-o-q and a reduction in capex (down 45% q-o-q). On a y-o-y basis, free cash flow declined by 37%, mainly due to a 35% y-o-y decrease in operating cash flow, despite ...

The official launch of the deposit held on October 31, last year! Alrosa announces the preliminary results of an experiment aimed at clarifying the diamond-bearing capacity of the north western area of the Zapolyarnaya pipe, which is a part of the Verkhne-Munskoye deposit. According to the data obtained, Verkhne-Munskoye can become one of the richest in large diamonds among Alrosa’s deposits. The experiment took place on March 11-15. Through that period, the processing plant N12 in the town of Udachny was supplied with ore exclusively from the north-western part of the Zapolyarnaya pipe. The main goal was to find out the color characteristics of diamonds, the grades and the cost of one carat in this particular part of the pipe. During the experiment, about 100 thousand tons of ore was processed. The diamond grades appeared to be higher than planned. “The experiment showed once again that the Verkhne-Munskoye deposit is rich in large crystals. In 5 days, we extr...

Alrosa presents its key strategic priorities Alrosa, the world’s leading diamond mining company, hosted its Capital Markets Day in London. The Company’s management has shared market insights and provided an update on Alrosa’s strategic development. 1: Enhance sustainable development and safety at workplace. Focus on responsible mining:   Safety in the workplace continues to be Alrosa’s key priority. Though its current LTIFR is well below the industry average level, the Company will continue to strive for further decrease of this indicator and target to achieve zero fatality rates. The environmental programme of Alrosa targets to further decrease the amount of CO2 emissions. Renewals are expected to account for a significant part of the Company’s energy consumption by 2024. The Company will continue to support local communities through charitable and infrastructure development initiatives, which account for almost 90% of Alrosa’s social expenditure. 2: Foc...

A move to improve the quality of corporate governance The Angolan diamond mining company Catoca Ltd Mining Co (major founding shareholders are Alrosa and the Angolan national company Endiama E. P.) will introduce innovations that significantly improve the quality of corporate governance. "We are pleased to state that our cooperation with Endiama, the second major founding shareholder of Catoca, is reaching a new level of development. Since last year, Alrosa and Endiama have been discussing opportunities to improve corporate governance at Catoca Ltd. After detailed consideration and elaboration, shareholders unanimously adopted all the proposed innovations at the recent General meeting. This indicates a uniting desire to develop the company and contribute to the strengthening of the Angola economy" said Sergey Ivanov, Alrosa CEO. Founding shareholders of Catoca decided to establish Supervisory and Fiscal councils. These bodies are vested with the authority ...

By end of 2019, Alrosa to hold Five more auctions in Israel Alrosa, the largest diamond mining company in the world, held the first auction this year for special size (over 10.8 carats) rough diamonds. The auction took place in Israel. The company sold 92 large rough diamonds with the total weight of 1,570 carats. The overall revenue from sales amounted to $9.6 million. Firms from Israel, Russia, Hong Kong, Belgium, India, the United Arab Emirates and the United States participated in the auction. “The auction in Israel is the first in our schedule, and we are satisfied with its results. Until the end of the year, we will hold five more auctions here. We also continue to analyze the situation in the global diamond market and see some difficulties with demand. However, in the next two months we expect it to recover,” Evgeny Agureev, Member of the Management Board, Director of the United Sales Organization at Alrosa, said. In 2018, Alrosa held six auctions for s...

Long-term contracts accounting for up to 70% of Alrosa sales! Alrosa, the largest diamond mining company in the world, has expanded the long-term customer list in 2019 within the three-year contract period 2018-2020. Six customers who, from the beginning of 2018, were Alrosa Alliance participants and candidates for the possible signing of long-term agreements obtained long-term customer status. In particular, Chow Sang Sang Jewelery (China), Kapu Gems (India), Mohit Diamonds (India), VD Global (India) and M. Suresh Company (the UAE) joined the list of Alrosa’s long-term clients. The company from Switzerland – Richold SA, appeared in the list for the first time. Thus, today Alrosa supplies gem-quality diamonds under 59 long-term contracts and technical diamonds – under 10 contracts. In addition, two Belgian companies – H.D. Diam BVBA and IGC Group NV (former spot clients of Alrosa) supplemented the list of candidates for the possible conclusion of long-term agreemen...

Lowered diamond sales by 8% & Sales proceeds increased by 6%   Q4 and 12M 2018 operating results were announced by Alrosa. Alrosa, a global leader in diamond production, reports diamond production volume in 2018 at 36.7 m carats and sales of 38.1 m carats (down 8%). Sales proceeds increased by 6% to $4.5 bn. In Q4 2018, diamond production decreased by 2% q-o-q remained up 2% y-o-y to 10.3 m carats driven by seasonal suspension of production at alluvial deposits, which was almost fully offset by increased output at underground mines. In 12M 2018, production declined by 7% to 36.7 m carats due to the shutdown of the Mir underground mine (UM) and the completion of open-pit mining at the Udachnaya pipe. In Q4 2018, the volume of processed ore and gravels went down 2.3 times q-o-q registered up 3% y-o-y to 7.5 m tonnes, due to seasonal suspension of production at alluvial deposits. In 12M 2018, it grew by 3% to 40.5 m tonnes mainly due to increased gravel process...

December sales of rough and Polished up by 38% YoY Alrosa, the world leader in diamond production, announces rough and polished diamond sales results for December and preliminary results for 2018. Alrosa December sales of rough and polished diamonds increased by 38% YoY to $328.7. Rough diamond sales reached $323.7 million, polished diamond sales were $5 million. Alrosa’s total diamond sales in 2018 grew 6% YoY to $4.507 billion. Rough diamonds sales grew to $4.412 billion, polished diamonds sales stood at $95.3 million. “A 6% sales growth in 2018 was driven by both high demand for rough diamonds and positive price dynamics in the first half of the year, market demand was strong in all rough diamond categories, and traditional slowdown in demand in the second quarter due to seasonality was not registered this year. In the second half of the year, buying activity in the low-priced product segment significantly deteriorated due to weakening of the global market s...