Angola’s Catoca Produces 2009 Sales $438.7 Million (Revised)
September 13, 10
 Catoca, seen in this aerial image, produced 7 million cts in 2009 |
Angola’s most important diamond mine produced 7.1 million carats and had $438.7 million in sales in 2009. Profits declined to $70 million from $93.3 million in the prior year.
The decline in profit is attributed to falling rough diamond prices in late 2008 and in the early part of 2009. In its annual report, Catoca said that as a result, the value of its diamonds fell by 42 percent, forcing the company, at the beginning of 2009, to keep in stock three months production.
The stocking up forced the company “to appeal to the financial market to maintain its financial obligations.”
The mine’s operating costs totaled $279.1 million, operating income reached $122.6 million and its net profit for 2009 $70 million.
Alrosa’s partners at Catoca are Brazilian energy and infrastructure conglomerate Odebrecht SA, Lev Leviev’s Daumonty Finance Co. and Angola’s state owned diamond firm Endiama. Alrosa is the world’s second largest diamond miner after De Beers.
In the past, Leviev had exclusive exports rights from the mine, but later lost the contract to another Israeli trader, Dan Gertler. Today the goods are marketed via other channels.
Catoca, the fourth largest diamond mine in the world, accounts for 78 percent of Angola's diamond revenues.