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ALROSA Plans Innovation Centre for Diamond Industry X-ray Equipment

ALROSA Plans Innovation Centre for Diamond Industry X-ray Equipment
Open-pit mine at the city of Mirny, Yakutia (Eastern Russia)

Russian diamond miner ALROSA has approved plans for the construction of an innovation centre designed to expand capacities for the production of unique x-ray equipment for the industry.

The project is to be handled by OJSC NPP Bourevestnik, ALROSA’s branch in Saint-Petersburg.

Bourevestnik is engaged in design and manufacturing of the x-ray luminescent equipment for diamond recovery for ALROSA and third-party customers and holds around 25 percent of the global market for x-ray separators.

Since 2009 the proceeds of Bourevestnik from the sale of its equipment have increased threefold and amounted to some RUB 700 million in 2013.

The company is looking to expand its capacity which has not been possible of late due to depreciation of fixed assets. Market research also suggests a need for new equipment in the diamond industry.

The new innovation centre will be built on the Special Economic Zone Novoorlovskaya in Saint Petersburg, with the ALROSA expecting the new capacity to generate more than two million roubles a year.

Vladimir Tsvetkov, General Director of OJSC NPP Bourevestnik, said: “The analysis carried out shows that the production relocation to a new site is more cost-effective compared to upgrading the existing facilities.

“Smaller floor-space, cost-saving due to the implementation of manufacturing methods, and significant tax benefits within the Special Economic Zone, will allow us to raise labor productivity, create comfortable working environment for the employees, and implement the new equipment development objectives.”

In 2013, ALROSA produced 36.9 million carats of rough diamonds and revenue amounted to RUB 168.5 billion.