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08:48 , Graeme Evans

Anglo American today said prevailing diamond market conditions had prompted it to write down the carrying value of its De Beers stake by $2.9 billion.

The move comes as the mining giant continues with plans to separate the business as part of an ongoing overhaul of the group. It recently made significant cuts to its De Beers production guidance for this year and next.

Lower commodity prices meant the group, which last year fought off takeover interest by BHP, reported a 15% drop in underlying earnings to $8.