Rio Tinto Diamond Output Falls 68% after Diavik Closure
Rio Tinto's diamond production dropped 68% in the first nine months of 2026, to 1.074 million carats, due to the closure of its Diavik mine in Canada. The mine, which produced over 150 million carats in 23 years, ceased operations in March 2026 after exhausting its reserves. Rio Tinto plans to sell remaining rough diamonds through 2026 and beyond.
How this was made
The 30-second read
Why it matters
The final shutdown confirms the end of Rio Tinto's diamond operations, removing a niche revenue stream and signaling a strategic focus on core metals.
Market read
While the diamond segment is small, the news clarifies Rio Tinto's strategic direction and may cause modest stock movement.
What to watch
Rio Tinto may redeploy capital to its core commodities, offsetting the diamond loss.
Background
Rio Tinto's diamond business has been winding down since the Argyle mine closure in 2020; Diavik was its last diamond asset.
Ticker impact
Rio Tinto reported a 68% drop in diamond production after the Diavik mine ceased operations, marking the final exit from diamond mining.
likely slight downside as investors price in the loss of diamond segment earnings
Diamond output is a small but high-margin segment; its loss will shave revenue, but the broader portfolio cushions impact.
Market effects
Other diamond miners may see relative strength as Rio Tinto exits the market.
Canadian mining sector could face slight headwinds from the Diavik closure.
Minimal; Rio Tinto's diversified exposure limits broader market impact.
Counterpoint
The exit could free capital for higher-return projects, potentially supporting the stock.
Key entities
- CompanyRio Tinto
Global mining group exiting diamond business.
- AssetDiavik Mine
Rio Tinto's last operating diamond mine, now closed.
