Advanced Search

Rio Tinto's 1H Diamond Revenue +12%

Aug 8, 2012 3:15 AM   By Avi Krawitz
Comment Comment Email Email Print Print Facebook Facebook Twitter Twitter Share Share
RAPAPORT... Rio Tinto reported revenue from its diamond business rose 12 percent year on ‎year to $350 million during the first six months of 2012. Revenue growth was driven by ‎higher production, while rough demand experienced a modest slowdown during the period, the company explained. ‎

Rio Tinto recorded a net loss of $38 million from its diamond operations, compared with a ‎loss of $10 million in the previous year. Earnings before interest, tax, depreciation and amortization (EBITDA) ‎fell 30 percent to $35 million.  ‎

In July, the mining group reported that production for the first half of 2012 rose 18 percent ‎to 6.167 million carats across its three diamond mines. Rio Tinto owns the Argyle mine in ‎Australia, a 60 percent stake in the Diavik mine in Canada and a 78 percent share in the ‎Murowa mine in Zimbabwe. The company did not provide an update regarding its ‎intention to sell its diamond assets.‎

Despite its plans to divest, Rio Tinto’s capital expenditure on its diamond assets rose 69 ‎percent to $273 million during the half year  as it continues  construction of its underground mine ‎at Argyle.   ‎

Rio Tinto Group’s consolidated sales revenue fell 13 percent to $25.33 billion during the quarter, while net ‎earnings declined 22 percent to $5.86 billion.‎
Tags: Argyle, Avi Krawitz, diamonds, Diavik, Murowa, Rapaport, Rio Tinto
Similar Articles
Comments: (0)  Add comment Add Comment
Arrange Comments Last to First
© Copyright 1978-2018 by Martin Rapaport. All rights reserved. Index®, RapNet®, Rapaport®, PriceGrid™, Diamonds.Net™, and JNS®; are TradeMarks of Martin Rapaport.
While the information presented is from sources we believe reliable, we do not guarantee the accuracy or validity of any information presented by Rapaport or the views expressed by users of our internet service.