Mountain Province Diamonds has reported a second-quarter net loss of $37.7 million, compared with a loss of $6.5 million during the same period in 2024.
The company, which owns a 49% stake in the Gahcho Kué diamond mine alongside De Beers, attributed the larger deficit to a 12% decline in the average price of rough diamonds and a reduction in available saleable carats due to lower-grade ore.
Average realised rough prices dropped to $90 per carat in Q2. Sales volume for the quarter declined 26% to 411,114 carats, while overall production fell 46% year-on-year to 708,072 carats. Revenue for the quarter was down 36% to $36.8 million.
First-Half Results Reflect Broader Downturn
For the first half of 2025, Mountain Province reported total revenue of $80.8 million, down 47% compared with the same period last year. The company posted a net loss of $72.1 million , reversing a small profit of $340,000 reported during H1 2024.
Currency exchange gains, due to the strengthening Canadian dollar relative to the US dollar, partially offset the financial impact. The company earns revenue in Canadian dollars but services its debt in US dollars.
Market Uncertainty Continues
Mountain Province CEO Mark Wall said: “The first half of 2025 was a period of solid operational discipline…but one that also underscored the challenges we continue to face. While the global diamond market showed tentative signs of recovery earlier in the year, recent US tariffs have introduced a new layer of uncertainty at a critical juncture. The diamond market remains fragile.”
The company reported that recent geopolitical and economic factors, including US trade policy changes, are affecting rough prices, sales and production planning.
Industry Implications
Mountain Province’s results reflect ongoing pressure on mid-tier producers, driven by lower rough prices, reduced output and currency-related costs.
For jewellers, reduced output from Canadian mines may affect availability of certain goods in the coming months. Ongoing market uncertainty and trade policy changes may also impact supply schedules and price stability through the rest of 2025.
