De Beers Boosts Diamond Output by 88%, but Revenue Plunges 44% as Market Weakness Persists

De Beers Group reported an 88% year-on-year increase in rough diamond production during the second quarter of 2026, reaching 7.8 million carats, compared with 4.1 million carats in the same period last year. The increase was driven by the resumption of normal operations following an extended maintenance shutdown at the Orapa mine in Botswana, as well as the planned mining of higher-grade ore in both Botswana and Canada.

Production in Botswana rose to 5.5 million carats, up 107%, while output in Canada climbed 185% to 1.03 million carats. Production in South Africa increased 24% to 734,000 carats, while Namibia remained broadly stable at approximately 531,000 carats.

Despite the sharp increase in production, De Beers said the rough diamond market remained challenging during the first half of 2026 due to ongoing geopolitical and economic uncertainty, weaker consumer confidence, and persistent pressure on demand.

The company also noted that lab-grown diamonds continue to weigh on demand for lower-value natural diamonds, particularly in price-sensitive segments. However, stronger pricing for higher-value natural stones helped support the overall price index during the period.

Rough diamond sales totaled 7.1 million carats across three Sights during the second quarter. However, consolidated sales revenue declined to $665 million, down from $1.185 billion in the second quarter of 2025, representing a 44% year-on-year decrease.

The average realized price fell to $110 per carat, compared with $174 per carat a year earlier, marking a 37% decline. Meanwhile, De Beers' average price index dropped 16% during the first half of the year, while the consolidated average realized price for the period stood at $105 per carat.

According to the company, the decline in prices reflected both weaker rough diamond pricing and a change in the sales mix, with a greater proportion of lower-value goods sold due to the current inventory profile.

Looking ahead, De Beers maintained its 2026 production guidance of 21–26 million carats, but warned that planned maintenance at the Orapa and Jwaneng operations in Botswana, together with the proposed production pause at the Venetia mine in South Africa during the second half of the year, is expected to reduce production rates from current levels.

The company added that it will continue to closely monitor global rough diamond market conditions and adjust production levels in line with prevailing demand to help maintain market balance.