Alrosa Group to Commence Largest Diamond Mine in Russia
Russia’s largest diamond miner, the ALROSA Group, is set to begin underground operations at its Udachny project in northeast Russia. The project is expected to produce the country’s largest diamond mine.
The Russian state-controlled diamond mining company plans to begin commercial production from the beneath-the-surface kimberlite pipe, which is projected to generate over five million carats of diamonds per year. ALROSA said the underground mining will begin in parallel to the open-pit mine until next year, aiming to produce between 2.4 to 3 million tons of ore per year by 2016.
"An ambitious program for the construction of underground mines is an integral part of ALROSA's development strategy aiming to keep its world's leading position in terms of rough diamond mining and ensure the diamond mining growth up to over 40 million carats. Launch of the Udachny underground mine will allow the Company to maintain stable volumes of diamond production in Western Yakutia for many years," said Alrosa CEO Fyodor Andreev at the official commissioning ceremony.
The Udachny mine has produced approximately $80 billion from precious gems since its 1955 discovery. The mine site, which means “lucky”, has become one of Russia’s major diamond-mining centers in recent years.
In addition to the mine, ALROSA operates the International and Aikhal underground mines. The company’s main processing facilities are in Western Yakutia and the Arkhangelsk region, as well as in Africa – in Angola and Botswana.
The ALROSA Group is currently developing 22 deposits and accounts for over a third of the world’s diamonds. The company is known for owning and operating the former Mir diamond mine, which closed down in 2001.
Newmont acquires Canada’s GT Gold in $325mn deal
Newmont, the world’s biggest gold miner, has acquired Canada’s GT Gold in a deal worth $325mn. The gold giant now controls the Tatogga gold-copper project in the Traditional Territory of the Tahltan Nation.
“With the acquisition of GT Gold and the Tatogga project in the highly sought-after Golden Triangle district of British Columbia, Canada, Newmont continues to strengthen our world-class portfolio,” commented Newmont President and CEO Tom Palmer.
“We look forward to continuing to build a respectful and meaningful relationship with the Tahltan Nation, including the community of Iskut. The relationships we have with Indigenous communities, First Nations and host communities are critical to the way we operate. We will partner with the Tahltan Nation at all levels, and with the Government of British Columbia to ensure a shared path forward as the Company understands and acknowledges that Tahltan consent is necessary for advancing the Tatogga project.”
Newmont’s acquisition includes the Tatogga project, comprised primarily of the Saddle North deposit, which has the potential to contribute future significant gold and copper annual production. There are also further exploration opportunities beyond the known deposits at Saddle North within the land package. The Tatogga project adds to Newmont’s existing interest in the prospective Golden Triangle through the company’s 50% ownership in the Galore Creek project.
Newmont is the world’s leading gold company and a producer of copper, silver, zinc and lead. A world-class portfolio of assets, prospects and talent is anchored in favourable mining jurisdictions in North America, South America, Australia and Africa. The American miner is celebrating its 100th anniversary this month.
With gold prices on the rise, the last six months has seen gold industry M&A activity accelerating. A recent Mckinsey report, advises that the industry need to be mindful of mistakes made during the previous gold price boom, when growth was chased unidirectionally by several companies.