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Bloomberg
Anglo American Plc said diamond production rose in the third quarter, as the industry continued to rebound. The company maintained full-year forecasts for most of the commodities it produces, while saying its Kolomela iron-ore mine will marginally exceed its goal.
Third-quarter output of the gems climbed 4 percent to 6.3 million carats from 6 million carats a year earlier, the London-based company said in a statement Tuesday. While the increased output reflects improved market conditions, Anglo remains cautious about the outlook, it said.
The century-old company is trying to engineer a turnaround after a slump in commodity prices sent its stock plummeting 75 percent last year. The producer plans to sell more than half its mines and wants to exit the iron-ore and coal business to focus on its best assets — diamonds, platinum and copper. It’s the best performer in the FTSE 100 Index so far this year, more than tripling in the period.
The diamond industry has rebounded this year after Anglo’s De Beers unit and Russian rival Alrosa PJSC cut supply in 2015. While rough-diamond prices gained 7.4 percent this year, De Beers’s management and other executives had cautioned that the final six months of 2016 could be more difficult. The company maintained its full-year goal of 26 million carats to 28 million carats.