Mountain Province Posts Record 2.0M Carat Q1 but C$65M Net Loss as Realised Price Halves to $47

Mountain Province Diamonds, 49% partner with De Beers in Canada's Gahcho Kué mine, reported record Q1 2026 production of more than 2.0 million carats — a 163% year-over-year increase driven by recovered grade of 2.64 carats per tonne, up 222%. The volume gain was offset by sharp price compression: 858,000 carats sold for C$40.0 million (US$29.2 million), an average realised price of US$47 per carat versus $103 in Q1 2025. The quarter produced a loss from mine operations of C$36.2 million and a net loss of C$65.1 million (C$0.31 per share), with negative adjusted EBITDA. The size-mix problem dominates: smaller stones, which face the steepest market pressure, made up a higher share of the recovered output, suppressing average value despite the throughput gain. Liquidity has narrowed: the company sold US$999,999 of future diamond-sale receivables to long-time backer Dermot Desmond on May 1 and extended a credit facility. Management is now reviewing strategic alternatives. The result spotlights Gahcho Kué's exposure to a market in which volume cannot compensate for sub-$50/ct realisation, and adds a second distressed Canadian operator to the May newsflow alongside Ekati.

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