Russia’s main diamond producer, Almazy Rossii-Sakha (Alrosa) has cinched a deal with the U.S. Export-Import Bank consisting of loan guarantees for exports that are expected to be worth hundreds of millions of dollars.
The deal calls for Alrosa to repay the funds through the processing and sale of diamonds by Lazare Kaplan International.
The U.S. Export-Import Bank seeks to provide loan and guarantees in order to promote the sale of U.S. goods. Alrosa is expected to use the funds to modernize its production facilities.
Meanwhile, Alrosa conferred once again with De Beers in Moscow this month with the details of a future agreement between the parties after the expiration of the current one in 1998 tightly under wrap. A company statement listed subjects discussed at the meeting as “the state of the world diamond market, the situation in the Russian diamond market, the contents and trends of the bilateral relations between Alrosa and De Beers.”
Current terms call for Alrosa to sell at least $550 million in diamonds this year through De Beers — from a total production of $1.5 billion.