Alrosa Plans to boost Production in Coming Years
March 27, 03
Russia's diamond monopoly Alrosa plans to boost its production to $1.8-1.9 billion annually in the next couple of years, from about $1.4 billion last year.
According to the Russian wire service Prime-TASS, Output would later be increased to $2 billion a year. The company's reserves are expected to last 40-45 years.
In a meeting with labor representatives in Mirniy, Yakutia, Alrosa President Vladimir Kalitin said the company met its 2002 objectives and maintained its standing in the world market.
According to Kalitin, Alrosa exceeded its 2002 diamond production plan by 2.8 percent, it produced rough diamonds worth $1.384 billion, and with the diamond output of Alrosa subsidiary Alrosa-Nyurba, the annual production amounted to $1.466 billion.
Looking ahead, Vladimir Kalitin listed high-priority objectives for 2003: further increase of diamond resources, capital investment in building projects, including the construction of underground mines at the Mir and Udachnaya pipes, and decreasing outstanding short-term loans.
The company plans to issue $300 billion in Eurobonds next month to fund development of the two kimberlite pipes.