Diamdel: We are Not Getting Increased Supply

Diamdel is not getting an increased supply from the DTC, managing director Desmond Cavanagh told Antwerp Facets Magazine in an interview, perhaps dispelling the understanding that DTC will supply an additional $500 million worth of rough intended for non-Sightholders.

"Contrary to recent speculation on this topic, the volume of goods we receive has not increased as a result of SoC and, even if De Beers did decide to increase it, it would only increase in line with a framework agreed by De Beers in discussion with the European Commission, so as not to give rise to concerns,” Cavanagh said.

Cavanagh emphasized that Diamdel is not a sightholder of DTC, stating that DTC is a channel for its rough diamond supply from De Beers.

“Our main shareholder is De Beers, so we obviously report to the De Beers board,” he said. “But we are a completely separate company from the DTC. This means that no information flows between us and the DTC about whom we supply and how much.

“Likewise, the DTC does not provide us with information on sightholders. Indeed, following its discussions with the European Commission on SoC, De Beers put in place strict confidentiality measures between us and the DTC, to prevent the flow of commercially sensitive information between the two companies.”

When asked about Gareth Penny’s statement - following the uproar over the decrease in the number of Sightholders - that Diamdel would be supplying an additional $500 million of rough diamonds per year, Cavanagh responded “For some time now our buying activity is very significantly less than in the past and, in the context of this, I believe that sales will be broadly at the same level as they have been for some time."