insta twitterrss2
Multi-language Web site on current affairs in the biggest russian region
logo

Sergei Ivanov: ALROSA is developing dynamically despite the accident in the Mir mine

  • Published in Economy
index 5 696x464

ALROSA is developing dynamically, despite the gravest difficulties associated with the accident in the Mir mine. This was stated by president of the diamond monopoly Sergei Ivanov after the meeting in Yakutsk.

The head of Yakutia, Egor Borisov, held a meeting on December 21 to consider the preliminary results of the financial and economic activities of the ALROSA group of companies.

"In general, the Company is developing very dynamically. We see a positive trend for the next three to five years," said Sergei Ivanov, commenting on the results of the meeting.

According to him, despite the hardest difficulties that the Company had to experience in connection with the accident in the Mir mine, the financial performance of 2017 is good, although more modest than last year, due to changes in the exchange rate and sales structure.

Ivanov said that a week ago, the ALROSA Supervisory Board approved the Company's budget and investment program for 2018. "The figures will be better compared to 2017, despite the fact that we are slightly reducing the level of production due to the events at the Mir mine. It is expected that the falling volumes are compensated for by increasing diamond production in other fields without any impact on additional investments," he stressed.

Taking into account the situation in November-December, Sergei Ivanov expressed his hope that the market in the next year will be stable: "According to our forecasts, the market in 2018 will be balanced, without any sharp fluctuations in prices, stable for the development of the Сompany in terms of geological exploration, forced search and discovery of new deposits, localization of zones in which we expect new discoveries. We have good results on the deposits in Angola."

The production of ALROSA, according to Ivanov, will be approximately at the level of 36.6 million carats. As a result of the implementation of the program to improve operational efficiency, it is expected that ALROSA will not have any expenditure expansion next year, which will also have a positive impact on the company's financial performance, the press service of the head and government of Yakutia reports.