A new wave of Chinese-built housing and a resurgent Jindabyne mine have pushed the value of the Jindabhadra diamond mine to $3,216.2 million, more than three times its previous record price.
The company said the mine, which opened in 2015 and is expected to produce more than 30,000 tonnes a year, had raised $932.2m from investors.
While the new market is still dominated by Chinese firms and governments, the value has jumped by more than half a billion dollars to a record $2.8 billion.
Key points:Jindabyna mine, the largest single mine in the world, is the biggest in India and the fourth-largest in AfricaThe company is also the largest mining project in the United States with $8.4 billion in projects at the Rio Tinto mine in northern Queensland and $7.9 billion in New York, Texas and South Carolina.
Jindabhai is the largest diamond mine in India with an estimated value of more than $2 billion, but its market share has shrunk to just a quarter of that.
At the end of March, Jindabi’s share of the diamond market fell to 17 per cent from 43 per cent, with its shares trading at around $1,300 apiece.
“It’s the biggest market in the universe and I think that will continue to grow over time,” Mr Muthukumar said.
China’s growing influence is also being felt across Australia’s diamond industry.
In 2016, the world’s second-biggest diamond producer, Anglo American, announced plans to invest $50 billion in the Kimberley and Queensland regions.
And the Chinese-led Export-Import Bank of China is reportedly spending more than a billion to develop a new mine in Queensland.
Despite the impact of Chinese activity, Mr Mudd said he was confident of the industry’s future.
“China’s been very supportive of the mining sector over the last decade and a half and we expect that to continue to be the case,” he said.
“In the long term, there’s a lot of optimism that Australia’s mining sector will continue its growth and continue to flourish.”
Topics:business-economics-and-finance,gold,mining-industry,mining,miningore-3830,china,australiaFirst posted May 24, 2020 17:00:36Contact Alex JanssenMore stories from Australia