BHP: Ekati Diamond Production Rises, Value Decreases

Mining giant BHP Billiton reported that diamond production at Ekati in Canada increased 17 percent in the past nine months, due to it beginning to process higher grade ore recently. Lower value diamonds have been found in the ore.

BHP’s share of Ekati, Canada’s first diamond mine, was 2.313 million carats in the first nine months of BHP’s fiscal year. BHP holds an 80 percent share of the diamond mine.

In the quarter ended March 31, the mine produced an estimated 1,111,250 carats (BHP reported 889,000 carats as its share), a 74 percent increase over the third quarter of 2006, but a 5 percent decrease compared to the previous month ending December 31.

The value of the mined diamonds was not reported.

Overall, the firm reported record production levels, most notably of natural gas, alumina, aluminium, copper, nickel, iron ore and manganese ore supported by strong customer demand.