Diamonds Are Forever, Supply Is Not: Inside Rio Tinto's Sparkling Business

The video discusses the rarity and value of pink diamonds, highlighting their unique formation process and grading criteria. It focuses on Rio Tinto's mining operations, particularly the Argyle Mine, which is a major source of pink diamonds. The video also explores the challenges Rio Tinto faces as its mines near depletion and outlines potential strategies for sustaining its diamond business, including exploration and mergers. The market dynamics and investment potential of pink diamonds are also covered, emphasizing their high value and rarity.

What geological process is believed to give pink diamonds their unique color?

• Volcanic eruption

• Plastic deformation

• Radioactive decay

• Magnetic resonance

What percentage of Rio Tinto's production do pink diamonds from the Argyle Mine represent?

• 0.1%

• 10%

• 5%

• 1%

What is one of the strategies Rio Tinto is using to address the depletion of their diamond mines?

• Reducing workforce

• Exploring new deposits

• Investing in new technology

• Increasing diamond prices

How much of Rio Tinto's exploration budget is dedicated to diamonds?

• 20%

• 10%

• 30%

• 40%

Why does Rio Tinto remain committed to the diamond business despite it being a small part of their revenue?

• Diamonds are easy to mine

• Diamonds are a renewable resource

• Diamonds are in high demand

• Diamonds have high profit margins