Friday, April 26, 2013

Argyle Mine, East Kimberly

Genesis Rare Diamonds features stones from the world famous Argyle Mine, located in East Kimberly, which is a region of northwest Australia. Covering a 110-acre area, the Argyle Mine is the globe's leading diamond mind in terms of volume.

Established more than a quarter century ago, the Argyle Mine is best-known amongst coloured diamond sellers such as Genesis Rare Diamonds, as it's the site of the world's only substantial deposit of pink diamonds. Pink diamonds are the rarest of all coloured diamonds, followed by red diamonds, blue diamonds and yellow diamonds. It's estimated that 9 out of 10 of the world's pink diamonds come from the Argyle Mine, so it's favoured high-end natural coloured diamond buyers and sellers like Genesis Rare Diamonds.

What's more, the Argyle Mine is also a leading producer of other coloured diamonds, including blue diamonds, champagne-coloured diamonds and cognac-coloured diamonds. Cognac and champagne colours are both variations of brown.

The Argyle Mine, which exports an estimated 8 million carats per year, recently transitioned from a pit mine to an underground facility; it's expected to continue operations until 2018 or 2019, if mining engineers' predictions are correct. Approximately 760 million carats of diamonds have been mined from this location. The largest diamond was mined in 1991, weighing in at an incredible 42.6 carats.

Notably, with the fast-approaching closure of this mine, pink diamonds are expected to become even more scarce. Since 90 to 95% of the world's pink diamonds are sourced from the Argyle Mine, virtually no new pink diamonds will enter the world's markets. So now is an ideal time to invest in natural pink diamonds, as the price and demand is certain to rise dramatically once mining operations cease by the end of the decade.

This mine is also unique in that it's the first commercial operation to successfully utilise an underground lamproite volcanic pipe, which was formed by lava flows which ultimately receded, leaving a tube encrusted with gems that were thrust toward the earth's surface from the depths of the planet's mantle. Most diamond mining operations are created around kimberlite pipes. The U.S. is home to another diamond mine that utilises a lamproite pipe, located in Arkansas.

Notably, all pink diamonds mined from the Argyle Mine in 2005 or later are laser-engraved with the Argyle Mine logo as part of the GIA certification process. See our related article on diamond certificates to learn more about diamond certification, why certification is important and how it relates to diamond value.




5 comments:

  1. I had no idea that pink diamonds were so rare and that their mining was so heavily centered in Australia. It would be interesting to see a follow-up article with more details and photos of the lamproite volcanic pipe you describe here--sounds fascinating.

    I especially like the champagne diamonds myself but am motivated to learn more about the pink stones after reading about them.

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  2. I am not one who has the knowledge in the diamond sector by any means, but I found your post to be incredibly interesting. I did not realize that Pink Natural Diamonds were the rarest, nor knew that 90-95% of them are sourced back the Argyle mine in Australia. I think that you are completely right in stating that those who have the money should invest in getting pink diamonds, for when the mine closes, these types of diamonds will definitely sky-rocket when put out there on the market.

    You said that approximately 760 million in carats of diamonds have been mined from this specific location; that is a lot of diamonds! I know that you said that 90-95% of the pink diamonds come from Argyle, but I am interested in finding out how many diamonds overall hit the world market from this mine alone. This will give us a good estimate of whether or not the market is going to either rise or fall, based on the supply and demand of want and need of such high priced items.

    Another interesting aspect to consider is how the closing of the mine at the end of the decade is going to affect the economy of many in Australia, plus the economy of the world, once these diamonds hit an extreme rarity level.

    I hope all those working at the mine have other arrangements for when the mine becomes inactive.

    I agree with Mandy, in wanting to see a picture of this lamproite volcanic pipe, I think it would be absolutely breathtaking to see.

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  3. Wow, champagne and cognac diamonds! Any diamonds named after my favorite drinks deserve a look at purchasing! :) It's good to see so many unique mines active in the world. I thought most were in Africa, but its good for the diamond economy to have diversity. It would be awesome to see pictures inside the mine!

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  4. Thanks a lot for the article, it is full of useful information.

    I have never seen a pink diamond before I believe.

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  5. Thanks, GDS, for sharing this info on the Argyle Mine. I think it's a really important tip for investors to consider buying pink diamonds with this mine in the last five or six years of production. Looking forward to more posts from you in the future.

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