JOHANNESBURG (miningweekly.com) – The world’s biggest diamond-miner has managed to eke out a $140-million half-year profit, which De Beers MD Gareth Penny said had been achieved in spite of "extremely difficult" trading conditions, particularly in the first quarter.

Penny said that De Beers’ sales of R1,4-billion worth of rough diamonds in the half-year were 57% down on the first half of 2008.

He said that, after very difficult trading conditions experienced in the first quarter of 2009, the second quarter saw a significant pick-up in sales with the average diamond “sights” more than doubling in the second quarter compared with the first.

If the trading conditions of the second quarter continued, the second half of 2009 would be better than the first.

Production of 6,6-million carats in the first half was 73% lower than the same period last year in response to decreased demand.

Production in the first quarter was 91% down year-on-year at 1,1-million carats as a result of production holidays taken on the De Beers mines in South Africa and Canada, as well as on those of its joint-venture partners in Botswana and Namibia.

All but one of the mines in Botswana had subsequently resumed operations, and group production during the second quarter was 5,5 million carats.

Penny anticipated that carat production for the full year would be 50% of that of 2008.

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