Alrosa Aiming For 14 Percent Production Rise In 2004

Russia’s Alrosa, which mines 99.8 percent of all the country’s diamonds, is aiming to raise production this year by 14 percent on 2003 with $1.856 billion of uncut diamonds.

For 2005, Alrosa has set a target of $2 billion, according to company President Vladimir Kalitin.

In addition, Alrosa is planning to cut diamonds worth $137.1 million this year. It currently produces and sells diamonds worth $2.2 billion.

The company’s main aim is to continue the unprecedented development of four underground diamond pits at the same time, Kalitin said. The mines are expected to produce diamonds for decades to come.

Alrosa said it will also increase investment in looking for new diamond deposits in western Yakutia where its major mining facilities are located. In addition, the company is developing diamond fields in the Arctic Anabarsk region.

Alrosa accounts for 20 percent of world diamond production and in money terms its diamonds are second only to De Beers.