PSU NMDC auctions over 2,000 carats of Panna diamonds

State-owned NMDC has sold 2,050 carats of diamonds at its latest auction from the Panna mine in Madhya Pradesh, with an 8.12-carat gem-quality stone fetching the highest price of Rs 57 lakh, the company said. The 392nd auction saw 13,177 carats of diamonds offered for sale, including 5,031 carats of gem-quality stones. Around 60 customers, mainly from Mumbai and Surat, participated in the auction. The diamonds were mined between 2024 and March 2026. The average realisation stood at around Rs 32,700 per carat of diamonds sold. NMDC mined around 8,000 carats of diamonds between April and October 2026, reflecting the output of its Panna mine.

The value of rough diamonds increases further after cutting and polishing by diamond merchants and jewellers. NMDC operates India's only mechanised diamond mine and Asia's largest diamond mine at Majhgawan in Panna. Commercial, fully mechanised production at the mine began in 1971-72, following its acquisition by NMDC in 1965 and preliminary exploration and excavation. NMDC initially processed diamonds from existing ore stockpiles after operations resumed, the company told Reuters in January 2025. "The encouraging response to our Panna diamond auction reflects the quality of our resources and the confidence of the domestic diamond trade in NMDC.

The strong participation and value realisation reaffirm the importance of Panna in our diversified mining portfolio," NMDC Chairman and Managing Director Amitava Mukherjee said. NMDC is a Navratna public sector enterprise under the Ministry of Steel and India's largest iron ore producer. It operates iron ore mines in Chhattisgarh and Karnataka and is targeting an annual iron ore production capacity of 100 million tonnes by FY30. (With inputs from Reuters)