Anglo American is reviewing the carrying value of its De Beers diamond unit, signalling a potential third major writedown in as many years as weak prices persist.
The review coincides with the company's efforts to sell non-core assets ahead of its pending merger with Teck Resources, Canada's largest mining company.
The miner warned that De Beers is likely to report another loss after average realised diamond prices fell in 2025.
This follows a $2.9 billion impairment on the business in February 2025 and a $1.6 billion writedown in 2024.
Anglo American owns an 85% stake in De Beers.
In a fourth-quarter production update, Anglo cited "challenging" trading conditions driven by industry weakness, geopolitical tensions, and tariff uncertainty.
De Beers' average realised price fell 7% to $142 per carat in 2025, attributed to a 12% decline in the rough price index and the sale of lower-value inventory below cost.
The company noted that downward price pressure stems from weaker consumer demand in China and competition from lab-grown diamonds.
Despite a rise in fourth-quarter sales to 5.9 million carats from 4.6 million the previous year, and revenue increasing to $571 million from $543 million, Anglo confirmed that an impairment review is underway ahead of its full-year results.
Mathew Nyaungwa, Editor-In-Chief, Rough & Polished
