Corporate Profile

Sarine Technologies Ltd. develops, manufactures, markets and sells precision technology products for the processing, grading and trade of diamonds, utilised throughout the diamond industry value chain. Following is a brief profile of our offerings.

Rough Stone Evaluation (the "Upstream")

We assist diamond mining companies, also termed "producers", to evaluate their rough stones. Our DiaExpert® family of platforms accurately model a rough diamond's external geometry. The revolutionary Galaxy® family of internal inclusion mapping systems for rough diamonds, based on patented technology, provides high resolution (optionally at microscopic-level), fully automated, fast and comprehensive identification and mapping of a rough stone's internal features – inclusions, cracks, etc. By utilising these two systems and optional software tools, a producer can fully assess the intrinsic value of its rough material and provide prospective customers with comprehensive information pertaining to the stones offered for sale. Disclosing this information, and thus reducing the risk associated with buying the offered rough stones lacking full knowledge of their characteristics, allows bidders to offer a higher premium for the offered goods, thus increasing the producer's profitability. In addition, the provision of such data in a digital form enables producers to reach a broader group of potential buyers.

Alrosa, the primary Russian producer and largest miner of diamonds worldwide in carat terms, Grib, another Russian producer, Lucara, a Canadian-based producer operating in Botswana, and Star Gems, a leading rough stone secondary wholesaler in Dubai, have already adopted these technologies for various categories of their rough inventory, subsequently offered for sale via digital tenders. We expect other producers and wholesalers to also adopt this paradigm, having already evaluated it in 2020 in light of its inherent benefits during Covid-19 travel and related restrictions.

Rough Diamond Polishing (the "Midstream")

Our products and services provide industry-leading automated solutions for every stage of the rough diamond polishing process, from high-precision geometrical modelling and internal inclusion and tension mapping of the rough stone, through determining the optimally derivable polished gems based on true dollar value and market trends, through laser cutting and shaping, to the inline quality control of the actual making and faceting of the polished jewel.

Our aforementioned DiaExpert® family of platforms and the copyrighted Advisor® software are the de-facto worldwide standard for planning the optimal utilisation of rough diamonds. These systems assist the manufacturer in the planning, cutting and polishing process of the rough stones in order to achieve polished gems with the highest possible values based on optimisation of the four "C" parameters (Carat, Clarity, Color and Cut) and light performance parameters in accordance with market trends and prices.

The Galaxy® family of internal inclusion mapping systems for rough diamonds allows for the optimisation of the Clarity grade of the resultant polished stones, which could only be roughly estimated prior to this technology's introduction in 2010. To allow the industry to fully benefit from this cutting edge technology, various models (see the Business Review section) offer inclusion mapping of rough stones across the entire spectrum of sizes – from below 10 points (0.10 carats) to over 200 carats. To further affordability and flexibility, we offer per-use inclusion scanning services at wholly-owned or affiliated service centres in all the major diamond polishing and trading centres - Mumbai and Surat (India), Antwerp (Belgium), Dubai, Gaborone (Botswana), Johannesburg (South Africa), Moscow, New York, Ramat-Gan (Israel) and Windhoek (Namibia). As of 2019, our Galaxy® systems can be upgraded with an add-on hardware kit, which enables the mapping of the internal tension (stress) of the rough stone's crystal structure, reducing the risk of damage or breakage during the subsequent cutting and polishing stages.

Our third-generation Quazer® 3 green-laser system, integrated with our planning systems by way of the Strategist® setup station, is the industry's most cost-effective high-end solution for the laser cutting and shaping of rough stones, as well as for the processing of CVD-type lab-grown (so called "synthetic") diamonds. The Quazer® 3's main advantage is its ability to perform complicated non-linear cutting, like pie sawing, with a single setup, giving more accurate results and saving significant time. We offer rough diamond cutting and shaping services on a per-use basis at our service centres in India.

The Instructor® software assists in real-time quality control and optimisation of the actual diamond faceting processes. It can provide for corrective polishing, when deviations from the original planned optimal polishing solution are discerned, by re-analysing the semi-polished stone and proposing alternative solutions, including utilisation of unique asymmetrical methods. Here too, as in planning, conventional 4Cs optimisation can be enhanced by light performance optimisation for ultimate polishing results.

The combination of these technologies has redefined the art of diamond polishing into a science. It has raised the optimally achievable yield of the polished stones combined weights from historically under 40% of the rough stone's original weight to over 50%, a 25% benefit. But no less important, it allows the manufacturer to select planning options which best suit actual demand at any given time for any specific geographic market (e.g., trading off between weight, typically a key criterion in US markets, and quality, more emphasised in Asia Pacific (APAC) markets) or any individual retailer's needs for specific lines of jewellery, so called "programmes". These technologies are equally effective on natural and lab-grown diamonds (LGD).

Polished Diamond Grading and Trade (the "Downstream")

Grading

Having pioneered the technology-derived automated grading of a polished diamond's Cut in 1992, and having introduced the industry's most accurate system for measuring a polished diamond's actual light performance in 2013, the Sarine Light, we now also provide automated grading of a polished diamond's Clarity, a world first, and Color. Our Sarine Technology Lab provides the world's first (and currently only) artificial intelligence ("AI") based, technologically-derived objective and consistent grading of a polished diamond's 4Cs and light performance, as well as authentication of the diamond's source (natural or lab-grown) and identification of any treatments to which it has been submitted.

We launched the DiaMension® family of products in 1992 for the accurate measurement of a polished diamond's proportions, in order to derive its Cut and Symmetry grades. The DiaMension® HD (High Definition) and the Instructor® software are today the industry's de-facto standard for measuring proportions and Cut grading worldwide. The newest model, the DiaMension® Axiom 3, based on revolutionary technology with micron level accuracy, was originally developed to meet and exceed Tiffany & Company's ("Tiffany") most stringent requirements for extra-fine diamond quality assessment including symmetry grading. Our polished stone proportion measuring and Cut/Symmetry grading systems are driven by the Instructor® software package.

The Sarine Light introduced in 2013 has today become the most widely used system for light performance analysis and grading in the Asia Pacific (APAC) market, and has all but become the fifth "C" in Japan. We offer light performance grading services independently or as a key element in the Sarine Profile, detailed below. The Sarine Light enables the automatic, accurate, consistent and quantified measurement of a polished diamond's light performance, in order to provide additional criteria by which to appreciate the diamond's quality:

  • Brilliance – the intense bright light that shines from the diamond.

  • Sparkle – the dramatic flashes that burst out of the diamond.

  • Fire – the vivid colours of the rainbow that radiate from within the diamond.

  • Light symmetry – the equal distribution of the light that reflects from the diamond.

Since mid-2018, we offer comprehensive polished diamond 4Cs grading, utilising our groundbreaking AI-derived technology and two dedicated hardware platforms - the Sarine Clarity and Sarine Color. The ability to provide technologically-derived automated grading of a polished stone's Clarity is an industry first. Clarity grading is a very complex multi dimensional classification, derived from the number of inclusions, their sizes, types and locations as well as other parameters, and has always been a subjective and manual labor-intensive process. Typically two graders would manually grade each stone, and it is not unusual for a third expert opinion to be required. Even so, Clarity grading is not consistent, and it is not uncommon to have significant disparities in the prescribed grade, often resulting in it being contested. Our tests have shown that when a statistically significant reference team of proficiently trained graders assesses a stone's Clarity, variances can be spread over two or sometimes even three different grades. The utilisation of technology enables objective, consistent grading, which, as the AI-based algorithms are self-learning, continuously improves over time. We are currently working with Tiffany to adapt our automated AI-based grading technology to Tiffany's stringent grading guidelines and criteria. We have also entered into a joint initiative with China's largest and most important gemmological laboratory the National Gemstone Testing Center (NGTC), in order to develop automated grading standards for a polished diamond's 4Cs and its light performance for the Chinese trade.

In 2020 we announced the next revolution of polished diamond grading – e-Grading. Currently in beta-testing in India, the use of our above-mentioned hardware platforms and AI-based software, enhanced by unique in-process inter-system control and verification software, will allow on-site grading, replacing the need to send stones offsite to third-party gemmological laboratories. This will bring a number of key benefits to the midstream diamond manufacturing industry – significantly less direct costs, virtually no indirect costs (e.g., shipping, insurance, etc.), a substantially shorter process (minutes to hours vs. days to weeks) and operational flexibility (enabling a manufacturer to independently prioritise his stones' grading sequence and schedule). It is our aim to ultimately also enable the automated on-site fine-sorting of a diamond's Clarity in accordance with customer-specific sub-grades pertaining to the diamond's actual appearance (e.g., "eye-clean", "no black inclusions", "no inclusions under the table"), so as to facilitate more accurate matching to the retail customer's needs, reducing rejects and bolstering profitability. e-Grading is uniquely suitable to LGD grading, as its lower cost allows application to the lower-valued LGD, and what is more natural than grading a stone created by technology using technology!

Retail Trade

We also provide technologically advanced standard-setting solutions for key aspects of the polished diamond retail trade, whether natural stones or LGD. In today's changing retail world, channel and product branding and differentiation, as well as providing a captivating digital experience on an online portal, are key to a retailer's success. In the 2020 holiday season in the U.S., online sales grew by almost 50%, also as a solution to Covid-19 related impediments to traditional retail channels. The ability to tell the polished gem's "story" online, and demonstrate its unique features, differentiating it from near-commoditised standard cuts and stones, are becoming universal goals amongst e-tailers and in-store retailers alike. Non-intuitive data, as formulated in the historic 4Cs, are no longer sufficient for the younger generation of internet and social media savvy buyers.

Our pioneering Sarine Profile addresses the retailers' needs for differentiation by providing engaging imagery and video information pertaining to the offered diamond's appearance, beauty and quality. Sarine Profile, a toolbox of various technologies, allows the wholesaler and retailer to display their inventory according to their own specific branding goals, as best suited to the merchandise being sold and the market in which it is sold. Each user, whether wholesaler or retailer, online or brick and mortar, can create its unique branding message by utilising various imaging technologies as provided by the Sarine Loupe, at various levels of 3 to 40 times magnification and from various simulated distances and perspectives, along with light performance analyses and grading, as provided by the industry-leading Sarine Light. Other graphic information such as Hearts and Arrows depictions, Cut proportions in 2D or 3D, laser inscription viewing, etc. can also be presented to the prospective consumer. Sarine Profile of course also provides the stone's gemmological laboratory report and can accommodate the retailer's promotional branding material and even the end-consumer's personalisation message (e.g., proposal) to the ultimate recipient of the jewellery.

Sarine Profile is unique in that it caters to the new generation of buyers' engrossment with their mobile devices and their passion for social media, allowing retailers to connect with them and engage them on their media of choice. Doing so enables online transactions with a completely new level of confidence. But it also enhances the in-store buying experience by empowering the consumer to make a truly informed decision.

In 2019 we introduced an additional tool for the jewellery retailer, a unique cost-effective technology for the imaging and optional creation of virtual derivatives of jewellery pieces – Verto. Verto generates high quality video displays, derived from but a handful of images captured by any common smartphone. Verto's solution enables jewellery manufacturers, wholesalers and retailers to provide their customers with exceptionally high-quality video renditions of offered jewellery items. It also has the capability to generate multiple options of the settings and the types, sizes, and colours of stones set in the piece, etc. All this with no need for capital investment in high-end devices, expensive professional photographers or exhaustive manual finishing. The combination of the imagery's high quality, the system's ease of use, its attractive cost and fast delivery creates an offering that is far superior to any currently available market alternatives.

In today's conscientious, even "activist", marketplace, responsible and sustainable sourcing and manufacturing are also key to a retailer's success. The Sarine Diamond Journey uniquely provides concrete reliable documentation of the rough diamond's provenance and its audited journey from rough stone to polished jewel. Critical to its unique proposition as a provenance solution is Sarine Diamond Journey's access to actual verifiable data from end to end of the polishing process, enabled by Sarine's uniquely extensive presence in the diamond industry's midstream, wherein the critical transition from rough to polish occurs. In 2020 just under 19 million stones were scanned for inclusion mapping using our systems and over 60 million stones were planned using our online Advisor® cloud-based software which, optionally, records the actual planning stages for the Sarine Diamond Journey. Thus, we can exclusively provide a conclusive certified testimonial of the polished stone's derivation, with no need to rely on declaratory information provided by the audited parties. The mined rough stone's source data is optionally provided by the producer. If not, key data pertaining to its weight, form, inclusions, etc. can be derived independently by our technologies, and its source verified by official data (e.g., customs manifests). Already today Alrosa, the world's largest miner by carat volume, and Lucara collaborate with us to provide mine/source information for various categories and sizes of their rough stones. The rough stone's form is retained in high-resolution mathematical model and video formats, for authentication at the manufacturing venue and presentation to the consumer. As an option, a realistic 3D-printed model of the rough stone can be derived from these data and provided for the consumer's fascination – the 3D-Origin. Subsequently through various stages of the stone's processing, to the level desired, accurate graphic/video data are collated. Beyond offering consumers insight into the sophisticated technology and painstaking craftsmanship that went into creating their gem in an engaging visual format, the Sarine Diamond Journey verifies for the consumer where their diamond was mined and how and by whom it was polished, even if by multiple parties, reinforcing their confidence in the sustainable value of their unique natural jewel.

Upon the polishing process's completion, proprietary technology for "fingerprinting" the polished stone, TruMatch, can also be engraved on the stone without denigrating from its beauty or value. TruMatch can subsequently be used to singularly verify the identity of the polished stone in the retail outlet, whether it is loose or mounted in a setting. A so-called digital twin for the authentication of the purchased item is readily retrievable, which can also be utilised by retailers offering extended warranties, providing cleaning and repair services or proposing "buy-up" exchanges, as well as by financial institutions or insurers in need of reliable unequivocal identification of the item.