Mountain Province Diamonds has released its production and sales figures for the third quarter of 2024, reporting a decline in carat recovery compared to the same period last year. The Gahcho Kué Diamond Mine, a joint venture in which the company holds a 49% stake, saw a 10% decrease in diamond production, with 1.19 million carats recovered in Q3 2024, down from 1.33 million carats in Q3 2023.
The company attributed the drop in production to a lower average grade of diamonds recovered, which fell to 1.24 carats per tonne—a decrease of 18% compared to the previous year’s figure of 1.51 carats per tonne. Despite the drop in grade, ore mining and processing volumes showed positive growth, with a 4% increase in ore tonnes mined and a 10% rise in ore tonnes treated. In total, 923,814 tonnes of ore were mined, and 961,371 tonnes were processed during the quarter.
On the sales front, Mountain Province sold 679,599 carats during the quarter, generating proceeds of $69.4 million CAD (approximately $50.8 million USD). This compares to Q3 2023 when 478,653 carats were sold for $60.2 million CAD (about $45.3 million USD). Although total proceeds increased year-on-year, the average price per carat dropped to $102 CAD (or $75 USD), down from $126 CAD ($95 USD) in the same period last year.
In his statement, Mountain Province’s CEO, Mark Wall, provided insight into the company’s production plans for the coming months, stating that Q3 and Q4 were expected to see lower grades due to the mining of lower-grade ore from the Tuzo pit. Wall also highlighted progress in the company’s Hearne and 5034 pits, noting that while mining at Hearne is nearly complete, geotechnical challenges and unusually high rainfall have slowed work at the 5034 pit. Preparatory work at the NEX orebody has begun, with this area expected to contribute significantly to production in the second half of 2025.
Looking forward, the company maintained its production guidance for the year, with expectations to recover between 4.2 and 4.7 million carats. Production is anticipated to fall in the mid-to-upper range of this guidance. However, total tonnes mined for the year are expected to come in below the guidance range of 36 million tonnes. In contrast, ore tonnes mined are projected to exceed the top end of the guidance range of 4.6 million tonnes, with ore tonnes treated likely to be near the higher end of expectations.
Mountain Province’s Vice President of Diamond Sales and Marketing, Reid Mackie, also commented on market conditions, pointing out that the rough diamond market faced pressure during the quarter due to falling polished diamond prices and delays in retail buying. Despite these challenges, Mackie said the company’s rough diamond sales held steady, and he expressed optimism that the upcoming holiday season would boost demand for diamond jewellery and improve market sentiment.
Mountain Province Diamonds will release its full Q3 2024 financial results on 6 November, followed by a conference call on 7 November at 11:00am ET. For further information on Mountain Province Diamonds and to receive news releases by email, visit the Company’s website at www.mountainprovince.com.
