Australian mining major, Rio Tinto has donated the largest pink diamond ever found in Australia to the Melbourne Museum.

The diamond was discovered in the Kimberley region of Western Australia by the company in 2001. It was expected that the diamond will be auctioned for between $ 10 and 20 million. The 12.76-carat pink diamond is larger than one 12.04-carat `Martian Pink' diamond that was auctioned for $17 million in 2011.

The new diamond, dubbed the `Argyle Pink Jubilee' was only partially cut and polished which means that it is now a 8.01-carat diamond. The diamond was donated in the previous month and it is now part of the Dynamic Earth Exhibition, which is displaying more than 3,000 minerals and gems.

Museum Victoria public engagement director Tim Hart said, "As the largest pink diamond found in Australia, this is an important and spectacular piece of Australia's mining history. We are very appreciative of Rio Tinto for donating the diamond, and are excited to be able to share its story at Melbourne Museum."

Rio Tinto Australia managing director David Peever said that the latest donation continues the tradition of the company to gift major mineral collections to the museum.