Rio Tinto Auctions Off Rare Red Diamonds

Rio Tinto Auctions Rare Red Diamonds

Rio Tinto has recently unveiled four very rare red diamonds that will be sold at an exclusive annual sale partially due to a growing interest in buying jewels as collectibles and alternative investments.

The sale will include gemstones from Rio’s Argyle mine in Western Australia, which includes 55 diamonds, 51 of which are pink and purplish red hued, and of course the four fancy red diamonds.

The focal point of the 30th year of the company’s annual sale is a 1.21 carat radiant cut fancy red diamond named the “Argyle Cardinal” after the small sizes, northern American bird.

The usual standard of pink and red diamonds are valued roughly 50 times more than white diamonds. The Argyle Cardinal, along with the other 3 red diamonds are estimated to sell at $1-2 million per carat.

It is not known how the diamonds acquire their pink or red hue, but many believe it comes from a molecular structure distortion when the jewel forms in the earth’s crusts or as it pushes its way to the surface.

The rarity of these colored gemstones cannot be emphasized enough, and buyers will have a chance to obtain stones that may never be paralleled by others. In the three decade history of Rio Tinto’s annual sale, only 13 fancy cut red diamonds have been put under the hammer. Also, there are less than 30 Gemological Institute of America (GIA) graded red diamonds found in the world said Josephine Johnson, the manager of Rio Argyle Pink Diamonds division.

There has been a change in trend of the gemstone market. Other countries such as India and China are now actively involved in obtaining rare gemstones. Also, there has been a large increase of interest from financial institutions instead of individuals that want to add to their personal collections.