Revenue and Prices Down 20% at Mountain Province
January 29, 25
(IDEX Online) - Mountain Province saw revenue and prices both fall by a fifth during what the company said was a "challenging year".
The Canadian miner reported total sales of $195.2m during 2024, down from $243.8m in 2023 (all figures USD) from 2.7m carats in both years. Average price per carat was $72, down from $90.
"The challenge for the company in 2024 was the diamond market, which was in a down-cycle," said CEO Mark Wall.
But he said 2024 was also a year of production records (ore tonnes mined and treated) and cost control, although it recovered fewer carats.
Mountain Province, together with De Beers, its joint venture partner in the Gahcho Kue mine, in Canada's Northwest Territories, recovered a total of 4.7m carats in 2024, down 16 per cent on 2023. Mountain Province has a 49 per cent share.
Reid Mackie, vice president of sales and marketing, said the business had been impacted by China and lab growns, but the price outlook for the medium to long term remained positive.
He said: "2024 was a challenging year for the diamond industry, with all sectors impacted by the continued weakness of Chinese domestic retail demand and the uncertainty surrounding higher volumes of cheaper, lab grown diamonds.
"Polished and rough diamond prices remained under pressure, and many rough producers held back supply in anticipation of a recovery. At year end, industry confidence and market sentiment remained low, and these challenges are expected to continue until full results from the important holiday retail season are known.
"For the first half of 2025, producers who curtailed supply are expected to integrate their stock back into the diamond pipeline commensurate with demand."
Pic courtesy Mountain Province.