The US Department of State has expanded its sanctions to include newly appointed Alrosa CEO Pavel Marinychev as the conflict in Ukraine continues.
Marinychev was elected in May and is expected to serve as chairman and CEO of Alrosa for at least three years. His election was unanimous.
As part of the executive order, the US Government aims to ‘degrade Russia’s current and future military capabilities’ and ‘curtail Russia’s use of the international financial system to further its war.’
The designation blocks access to any of Marinychev’s US-owned properties and assets and prohibits any transactions involving him or Alrosa.
Sales struggles for De Beers
The world’s largest diamond mining company, the De Beers Group, has reported declining sales in the second quarter as buyers prioritise smaller goods.
Sales volume decreased 19 per cent year-by-year to 7.6 million carats for the three months, while production declined by five per cent.
“Demand for rough diamonds was impacted by the ongoing macroeconomic headwinds, with high levels of polished-diamond inventory in the midstream,” De Beers said in a statement.
“Sightholders took a more cautious approach to planning their 2023 allocation schedule due to the uncertain macroeconomic outlook.”
Sales for the first half of 2023 were neutral on a year-by-year comparison at 17.3 million carats, while the average selling price decreased 23 per cent to $US163 per carat.
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