Russian diamond conglomerate Alrosa recorded a 16 percent year-over-year increase in rough output of 9.6 million carats during the second quarter of 2013. The production increase was driven by the Yakutia-based miner's Aikhal underground mine reaching its target capacity of 500,000 tonnes of ore per year, improved grades at the Jubilee pipe, and the group's acquisition of the diamond mining company OJSC Nizhne-Lenskoye.

Q2

Alrosa's Aikhal Division, which includes the Jubilee pipe, the Aikhal underground mine and the Komsomolskaya pipe, produced 3.7 million carats during the second quarter of 2013, up 60 percent year over year.

The Mirny Division, which includes the International underground mine, the Mir underground mine, and alluvial deposits, experienced a 9 percent year-over-year decline in its output for the second quarter to 1.8 million carats.

The Udachny Division, which is composed of the Udachnaya pipe and the Zarnitsa pipe, produced 1.4 million carats during the second quarter, down 14 percent from the same quarter a year ago.

Alrosa's Nyurba Division, which includes the Nyurbinskaya pipe and alluvial deposits, experienced a year-over-year production decline of 26 percent to 1.1 million carats in the second quarter.

The Lomonosov Division, which operates the Arkhangelskaya pipe, had a four percent drop in production during the second quarter to 142,000 carats.

Alrosa's OJSC Almazy Anabara showed a 19 percent increase in output to 967,000 carats in the second quarter and first six months of 2013, while the newly acquired OJSC Nizhne-Lenskoye produced 612,000 carats in the second quarter.

H1

Alrosa's production for the first half of the year grew 5 percent year over year to 17.1 million carats. For the first six months of the year, the Aikhal Division saw a 64 percent increase in its production to 5.7 million carats while the Mirny Division's production declined 27 percent to 3.6 million carats. Production also fell 20 percent to almost 3 million carats in the Udachny Division, and the Nyurba Division's output was also down 5 percent to 3.1 million carats. The Lomonosov Division remained flat during the half-year period at 142,000 carats.