N e w s

The intention of the Government of Russia to sell raw diamonds to the company De Beers for the sum of $4 bln may cause the problems with EC to Russia; the agreement itself may be restricted. It was reported by Wall Street Journal.

The Antimonopoly Department of EC is concerned about the fact that as a result of the contract the most part of Russian diamonds will fall into hands of De Beers. It will inflict damage to the world diamond market competition and will keep the prices of diamonds at a high level.

At the moment the investigation of EC is preliminary, and there are no any conclusions made. However, if the Commission has doubts about the agreement, De Beers and the Government of Russia will have to change the conditions of the contract.

In 2001 "ALROSA" arranged to sell De Beers raw diamonds for $800 mln annually during next five years.