Global mining giant Rio Tinto has officially announced the closure of\nits last diamond mine, the Diavik Diamond Mine in Canada. The diamond\nbusiness, which has been operated for more than half a century, will end\nin 2026.<\/p>\n
This closure is not only due to the natural cycle of the mine\nreaching the end of its production life but also due to increasing\npressures in the industry, from oversupply to the growing popularity of\nsynthetic (lab-grown) diamonds.<\/p>\n
Although diamond production has declined and operations will end this\nyear, mine closure activities are scheduled to continue until full\nclosure in 2029.<\/p>\n
Before closing the Diavik mine, Rio Tinto had already shut down the\nKimberley mine in Australia.<\/p>\n
Giant Mine Reaching Peak Production<\/p>\n
Located in the remote Northwest Territories, about 200 km from the\nArctic Circle, the Diavik mine is known as one of the world\u2019s most\ncomplex mining projects because it is situated beneath a frozen\nlake.<\/p>\n
Operating since 2003, Diavik has recorded significant production and\nproduced a number of spectacular diamonds, including rare yellow\ndiamonds in very limited quantities.<\/p>\n
The mine is also renowned for its advanced technology in holding back\nlake water to allow subsurface exploration.<\/p>\n
Its mining practices are also claimed to be ethical and\nenvironmentally friendly. Through Diavik, Rio Tinto has partnered\nclosely with indigenous communities, local governments, and various\nlocal businesses.<\/p>\n
Oversupply and Invasion of Synthetic Diamonds<\/p>\n
Despite a strong track record, Rio Tinto\u2019s diamond business has faced\nheavy pressure in recent years. The global market is dealing with\noversupply, while synthetic diamonds are increasingly favoured due to\ntheir lower prices and perceived environmental friendliness.<\/p>\n
This has directly impacted the company\u2019s financial performance,\nrecording losses in its diamond unit of US$79 million in 2025. In\naddition to Rio Tinto, the world\u2019s largest diamond producer, De Beers,\nis also struggling to sell its diamonds.<\/p>\n
This situation indicates that the natural diamond industry is facing\nstructural problems, not just ordinary cycles.<\/p>\n
Similar issues have also been experienced by De Beers, whose business\nhas declined due to imitation diamonds.<\/p>\n
Lab Diamonds: Cheaper, Faster, and Environmentally Friendly<\/p>\n
The weakening of the natural diamond industry is also supported by\nthe proliferation of laboratory-grown (lab-grown) diamonds as the main\ncompetitor. These synthetic diamonds still fulfil their aesthetic\nfunction and are even more efficient and environmentally friendly.<\/p>\n
Unlike natural diamonds that form over billions of years inside the\nEarth, lab diamonds can be produced in just weeks to months using\ntechnologies such as High Pressure High Temperature (HPHT) and Chemical\nVapor Deposition (CVD).<\/p>\n
Although made in laboratories, these diamonds have identical\nchemical, physical, and optical properties to natural diamonds. Their\nhardness and sparkle are also similar to natural diamonds.<\/p>\n
The main advantage of lab diamonds lies in cost and environmental\naspects. Without mining processes, their production tends to have a\nlower carbon footprint and does not damage ecosystems, making them a\nmore attractive choice for modern consumers.<\/p>\n
Additionally, more affordable prices allow buyers to obtain larger\nsizes or higher quality with the same budget. Globally, lab diamond\nproduction is now dominated by China, which holds 56% of the market\nshare, followed by India and the United States.<\/p>\n
This phenomenon signals a major shift in the diamond industry, from\nconventional mining exploitation to technology-based manufacturing.\nLooking ahead, this dynamic has the potential to change the structure of\nthe global market, where efficiency, sustainability, and innovation\nbecome the main determinants of competitiveness.<\/p>\n
From Ant\u2019s Nest to Global Market: The Legendary Story of Rio Tinto\u2019s\nArgyle Diamonds<\/p>\n
Diamonds existed before human life on Earth, even before dinosaurs.\nMost diamonds formed in the Earth\u2019s mantle depths between 1-3 billion\nyears ago. These precious stones reached the surface through a series of\nvolcanic eruptions that occurred 300-400 million years ago.<\/p>\n
In 1979, Rio Tinto discovered the Kimberley diamond field in Western\nAustralia when two of its geologists, Frank Hughes and Warren Atkinson,\naccidentally spotted a small diamond embedded in an ant\u2019s nest.<\/p>\n
Yes, ants. The diamond particle was brought to the surface by the\nsmall insect, unwittingly revealing one of the richest diamond deposits\never found.<\/p>\n
After 10 years of tracing rivers and tributaries, following clues in\nthe vast and remote Australian outback, Hughes and Atkinson finally\nstood atop the pipe that would become the Argyle Diamond Mine.<\/p>\n
This discovery later became the foundation of the Argyle Diamond\nMine, one of the richest diamond deposits in the world. The mine began\noperations in 1983 and produced small coloured diamonds, including rare\npinks.<\/p>\n
In November 2020, mining activities at Argyle were halted after 37\nyears of operation and produced more than 865 million carats of rough\ndiamonds, including a small portion of very rare pink diamonds.<\/p>\n
The Argyle mine is better known for small coloured diamonds,\ngenerally for the affordable fashion jewellery market, as well as a very\nsmall volume of pink diamonds sought after by high-end collectors,\ndesigners, and diamond connoisseurs worldwide.<\/p>\n
Rio Tinto also has the Diavik mine, famous for high-quality white\ndiamonds and a small number of rare yellow diamonds, which has reached a\nsignificant milestone by producing 150 million carats of rough diamonds\nsince operations began in 2003.<\/p>", "url": "https:\/\/jawawa.id\/newsitem\/rio-tinto-closes-diamond-business-the-story-of-treasure-in-an-ants-nest-comes-to-an-end-1774674093", "image": "" }, "sponsor": "Okusi Associates", "sponsor_url": "https:\/\/okusiassociates.com" }