Major world diamond producer Russia produces about 95% of its diamond output from five mines.
The country’s output has been falling for the past three years; analyst David Williamson Associates of London reports current annual diamond output of 11 million carats.
A developing Russian project is the Lomomosov diamond field about 80 km north of Arkangel. Five kimberlite pipes have been reported. William reports plans to mine 4 million carats per year from one pipe grading 2-4 carats per tonne and comprising 50% gemstones. Estimated development costs are US$500 million per pipe.
Meanwhile, Vancouver-based Canmet Resources (VSE) has hooked up with two Russian partners in Arkangelsk province, in the vicinity of the Lomomosov field. The junior has budgeted about US$4.5 million this year for its Verkhotina and Windy Ridge projects.
In Ukraine, Hol-Lac Gold Mines (CDN) has been negotiating with a state mining company to option property covering several kimberlite occurrences. And Prior Resources (ASE), SouthernEra Resources (TSE) and Consolidated Newgate Resources (VSE) are project partners with the Ukrainian State Geological Company in a diamond exploration venture.
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