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3w ago

De Beers Pauses Production at Venetia Mine for Two Years

The company says the move will preserve liquidity by rephasing underground investment while it consults stakeholders and supports affected workers.

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De Beers halts production at the Venetia mine as it anticipates challenging conditions. Picture: iStock
Venetia accounts for more than 40 percent of South Africa's annual diamond production and is the largest producer by value
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Overview

  • De Beers announced on Monday that it will halt surface production at the Venetia mine for two years and rephase capital spending on its planned underground development to reduce costs.
  • Venetia supplies more than 40% of South Africa’s diamond output and has been run by De Beers for over 30 years, and reports place its workforce between roughly 3,500 and 4,400, leaving uncertainty over local job impacts.
  • The company cited prolonged weak rough‑diamond trading, stronger competition from laboratory‑grown gems and softer demand in key markets as reasons for the pause, while noting selective signs of recovery in higher‑quality stones in the U.S.
  • The decision heightens strategic pressure on Anglo American, De Beers’ majority owner that is seeking to sell its stake, and follows earlier project suspensions including the Tuzo Phase 3 pause at Gahcho Kué in Canada.
  • De Beers says it will consult stakeholders, support impacted employees, maintain group production through its other operations and has cut more than $100 million in annual overheads since 2024 to strengthen resilience.