Rio Tinto Production Rises in H1, Expect Production of 14.6 Million Carats in 2012

(IDEX Online News) – Rio Tinto’s diamond production for the first half of 2012 was 6.2 million carats, 24 percent higher than the first half of 2011, due primarily to the impact of heavy rains and flooding in March 2011.

In a production report published today (Tuesday), Rio Tinto said that second quarter diamond production at the fully owned Argyle mine in Australia, was up 6 percent over 2011 to 1.8 million carats.

This is however, a 28 percent decline over the first quarter of the year due to lower grades and a planned processing plant shutdown.

Rio reported significant variation in ore feed grades due to the development of the Argyle underground mine, as the open pit draws to a close.

The company said the underground mine is scheduled to commence production in the first half of 2013.

Argyle produced 4 million carats in the first half of the year.

At the Diavik mine in Canada, in which Rio Tinto holds a 60-percent share, the company’s share of production in the second quarter totaled 1.07 million carats, unchanged from the corresponding period in 2011 and 12 percent higher than during the first quarter of 2012. This was due to higher open pit volumes and improved grades.

Rio’s share of production at Diavik in the first half of the year was 2.3 million carats.

The Murowa mine in Zimbabwe produced 56,000 carats in the second quarter and 123,000 carats in the first half of the year. Rio Tinto holds a 78 percent stake of this mine

Rio Tinto expects its share of production to reach 14.6 million carats.