About the Company

The history of ALROSA dates back to 1954, when geologist Larisa Popugaeva discovered Zarnitsa, the first kimberlite pipe and the first primary deposit of diamonds in the Soviet Union. The discovery paved the way for industrial diamond mining in the country.  

A year later, the Mir kimberlite pipe was discovered by the Amakinskaya expedition led by Yu. Khabardin, while another team led by V. Shchukin discovered the Udachnaya pipe.

The discovery of diamonds in Western Yakutia created a true sensation in the world because it had been a general belief that there were no commercial deposits of this precious mineral in the country.

In January 1957, a decision was made to begin mining and production operations on alluvial and ore deposits in the diamond-rich region of Yakutia. To manage the facilities construction and subsequent operations, the Yakutalmaz group of companies was established with headquarters in Mirny. V.I. Tikhonov was appointed its first chief executive, and L.V. Zhelyabin was appointed chief geologist. Six months later, Processing Plant No.1, a pilot industrial processing facility, was commissioned. In its first washing season alone, the plant produced more diamonds than had all Urals region mines combined during the preceding ten years. Two years later, the Soviet Union sold the first shipment of Yakut diamonds on the world market.

Subsequent years saw the discovery of new kimberlite pipes (Aikhal, Internatsionalnaya, and Yubileynaya).

In 1992 the Diamonds of Russia-Sakha joint stock company was founded, which in 1998 was renamed ALROSA Company Limited. The company became the legal successor of its constituent enterprises, as well as organizations and units of the Yakutalmaz research and production association (the leading diamond mining company of the former Soviet Union), and some divisions of the Russian Federation Ministry of Finance's Committee for Precious Metals and Gem Stones, which were responsible for the grading, presale preparation and selling of diamonds, and the exporting arm Almazyuvelirexport.  

The company obtained control over the exploration, mining, marketing and sales of diamonds on the domestic and world markets with the aim of ensuring the efficient functioning and development of Russia’s rough and polished diamond producing industry, and its position on world diamond markets. 

KEY PERIODS OF ALROSA DEVELOPMENT

1954

Zarnitsa, the first primary diamond deposit, discovered. 

1955

 

Mir ("Peace") and Udachnaya ("Lucky") pipes, alluvial deposits of Log Khabardina and Vodorazdelnye Galechniki discovered. A total of 15 primary diamond sources were found in 1955. 

1957 

January 14 - Yakutalmaz established. First commercial-grade diamonds recovered at Processing Plant No. 1.

1958

Processing Plants No. 2 and 4 commissioned. VilyuiGesStroy Construction Enterprise established for the construction of a hydro power plant on the Vilyui River.

1959

 

SoyuzPromExport All-Union Trade Organization sold the first shipment of Russian diamonds on the external market. Botuobinskaya Exploration Expedition established, which subsequently discovered hundreds of diamond deposits in Yakutia.

1960

The Aikhal pipe discovered. Dredge No. 201 put into operation.

1961

 

Construction of the Aikhal open-pit mine was completed. Processing Plant No. 8 put into operation. The construction of a diamond mining complex began in Western Yakutia. Yakutniproalmaz, a research and design institute, opened in Mirny. 

1963-1965

VTO Soyuzpromexport signed its first contracts with De Beers. 

1965

Seven-year production plan implemented ahead of schedule. Diamond production increased 16-fold against 1958. Ebelyakh diamond placer discovered. 

1966

Plant No. 3 in Mirny was commissioned and first diamonds recovered there.

1967

 

Construction of the Udachny placer mine was completed. First diamonds were recovered at Processing Plant No. 11. The first stage of the Vilyui HPP was put into operation. Phase One of the Vilyui Hydro Power Plant put into operation (main source of power supplies for the diamond mining industry). 

1969

The Internatsionalnaya pipe was discovered. Yakutalmaz Group of enterprises was restructured into the Yakutalmaz Production and Scientific Association.

1971

Mining at the Internatsionalny Open-Pit Mine began.

1975

The Yubileynaya pipe was discovered.

1976

The first stage of the mining and processing complex at the Udachny pipe commissioned and put into operation.

1978

Mirny Exploration Expedition established.

1979

Udachny Mining & Processing Division established. 

1986

Aikhal Mining & Processing Division was established. Development of the Yubileynaya pipe commenced.

1991

Mirny Mining & Processing Division established. 

1992

On February 19, Almazy Rossii-Sakha Joint-Stock Company established.

1993

Catoca Ltd. Mining Co. established in Angola.

1994

Botuobinskaya pipe discovered.

1996

Nyurba pipe discovered. The United Selling Organization (USO) of ALROSA established. Phase One of the Yubileynaya Mining and Processing Division put into operation. 

1997

 

First diamonds were recovered at Catoca Ltd's processing facility in Angola. ALROSA opened representative offices in Luanda, Angola; Antwerp, Belgium; London, UK. ALROSA Nyurba, an ALROSA subsidiary established. 

1999

Internatsionalny underground mine put into operation. Markhinskaya pipe discovered. Anabar placer restructured into the Anabar Mining and Processing Division. 

2000

The Nyurba Mining & Processing Division established. The Brillianty ALROSA cutting and polishing division established. 

2001

Open-pit operations at Mir pipe terminated. ALROSA and De Beers signed most recent trade agreement for 2002-2006. 

2003

 

Processing Plant No. 16 of the Nyurba Mining & Processing Division placed into operation. The first ALROSA international auction for special size rough diamonds organized. Severalmaz, an ALROSA subsidiary, established to mine diamonds at the M.V. Lomonosov deposit in the Arkhangelsk Region. 

2004

 

The construction of Udachny Underground Mine commenced: Dredge No. 203 of the Mirny Mining & Processing Division put into operation. The first generating unit of Svetlinskaya Hydro Power Project (Vilyui HPP-3) commissioned. 

2005

 

Industrial mining operations began at the Lomonosov diamond deposit in the Arkhangelsk Region (OJSC Severalmaz). The construction of an underground mine in Udachny commenced. In June-September 2005 the 50th anniversary of Mirny, the Russian diamond capital, and the half-centennial of the industrial mining in Yakutia were celebrated. Phase Two of the processing module at Catoca and Phase One of the Camatchia-Camagico Project in Angola commissioned. 

2007

Celebrations on the occasion of the 50th anniversary of the Yakutalmaz Group were held in Mirny.

2008

Ore body tapped at a depth of 310 metres at Mir underground mine. Third hydroelectric unit of Svetlinskaya HPP put into operation.

2009 

ALROSA Supervisory Board approved the 2010-2012 merchandising policy guidelines. Mir Underground Mine commissioned.

2010

 

Deputies of Il Tumen, the State Assembly of the Republic of Sakha (Yakutia), adopted a decision to amend the law on ALROSA shares, allowing ALROSA to change its legal status from a closed joint stock company to an open joint stock company. ALROSA signed a collective bargaining agreement with the Profalmaz Labour Union for the period up to 2013. 

2011

 

ALROSA was reorganized as an open joint stock company. Free float of ALROSA's shares on financial markets. ALROSA signed the Agreement on Social and Economic Development with the Republic of Sakha (Yakutia), which is valid until December 31, 2020.

2012

 

Exploitation of Botuobinskaya pipe started. ALROSA production development plan up to 2021 approved. ALROSA framework social policy strategy developed. ALROSA 2013-2015 framework merchandising policy approved.  

The company has cherished and kept up its traditions as a pathfinder: it pays scholarships for students and provides assistance to veteran workers; the company's historical museums preserve and exhibit memorabilia related to diamond mining. Numerous publications, e.g. Memoirs of Diamond Miners, dozens of documentaries, and hundreds of newspaper and magazine articles and stories have carefully preserved all the pages of our corporate chronicles.    

ALROSA Today

In its more than half century of existence the company has made history as one of the global leaders in rough diamond mining in terms of volume. The company’s full-cycle operations range from geological exploration and rough diamond mining to separation, processing, sorting, cutting and sales of diamond products. Diamonds are produced at ten alluvial and nine primary deposits by open-pit and underground mining.

At the end of the reporting period, the majority shareholders of the company, (i.e., controlling more than 2% of the stock) were as follows: the Russian Federation (50.9256%), the Republic of Sakha (Yakutia) (32.0002%), eight uluses (administrative districts) of Yakutia’s "diamond province" (8.0003%), various legal entities (4.7807%) and the company’s employees and other individuals (4.1521%).

Geography of Operations

The ALROSA Group is a transnational corporation that operates in seven countries on three continents.

ALROSA’s main production capacities are concentrated in the Republic of Sakha (Yakutia): Yakutsk and Western Yakutia, i.e. the Mirny District (towns of Mirny and Udachny, and settlements of Aikhal and Svetly), the Lensk District, and the Anabar and Nyurba uluses of Sakha (Yakutia).

The company operates a subsidiary, Severalmaz, in the Arkhangelsk Region and has representative offices in Moscow, St. Petersburg, Oryol and Yakutsk.

Outside of Russia, the company operates a branch office in Luanda, Angola and has a 32.8% interest in Catoca Ltd. Mining Co., the biggest diamond producer in Central Africa. In addition, ALROSA has a 55% stake in the charter capital of Hydrochikapa S.A.R.L., a joint venture established in 2000 with ENE, Angola’s National Energy Company. Hydrochikapa is the project originator of the construction and operation of the Chikapa-1 hydropower station on the Chikapa River in Lunda Sul Province.  

ALROSA has representative offices of sales and marketing organizations in foreign countries, i.e. Great Britain (London), Belgium (Antwerp), China (Hong Kong), Israel (Ramat Gan), the United Arab Emirates (Dubai), and the United States (New York).  

The corporate headquarters are located in Mirny, Republic of Sakha (Yakutia), and Moscow.

Geography of ALROSA operations

Angola:

ALROSA Representative Office (Luanda),
Catoca Ltd. Mining Co.,
Hydrochikapa S. A. R. L.

Diamond trading companies in: 

USA: ARCOS USA, INC.
China: ARCOS HONG KONG LTD.
Great Britain: ARCOS LIMITED.
Belgium: ARCOS BELGIUM N.V.
Israel: ARCOS ISRAEL LTD.
UAE: ARCOS EAST DMCC.