SMH reported BHP Billiton (NYSE:BHP) and Rio Tinto (ASX:RIO) are looking to sell their diamond mines and assets.

As quoted in the market news:

…after the events of the past 24 hours Rio Tinto’s Diavik Diamond Mine looks to be increasingly out in the cold.

Joint venture partner at Diavik, Harry Winston, has looked past Rio to strike a diamond deal with that other mining giant: BHP Billiton.

Harry Winston has agreed to pay $US500 million for BHP’s 80 per cent stake in another Canadian diamond mine, known as Ekati.

The deal appears to be a good price for Harry Winston, with BHP confirming it will carry a $US200 million impairment on its books as a result of the transaction.

Click here to read the full SMH report.