• Fri. Apr 19th, 2024

BOD hopes Zim diamond sector ‘will soon open up’

ByETimes

Feb 13, 2024

By ETimes

HARARE – Players in the mining industry hope that the diamond sector will be open to other private players.
In terms of policy, new entrants into Zimbabwe are not allowed to apply for licences for the exploration and development of diamond resources and must joint venture with one of the following four companies: Zimbabwe Consolidated Diamond Company (ZCDC), Alrosa, Anjun or Rio Zim.
ZCDC was formed in March 2016, after the previous administration evicted all diamond mining firms in the Marange fields in the east of the country, saying their licences had expired.
The main reason behind this was to form a wholly-owned government entity.
“It is hoped that the sector will soon open up,” Botswana Diamonds (BOD) said in a statement accompanying its 2023 annual report.
BOD, an exploration and mining development company that holds licences in Botswana and South Africa, is focused on short-term production targets at Marange and advanced kimberlite pipe projects elsewhere, in partnership with Vast Resources.
The two companies would be exchanging past exploration information and forming a special-purpose vehicle to jointly develop the diamond potential of Zimbabwe.
BOD spent £113 904 in exploration expenditure for the year ended 30 June 2023 as the explorer keeps looking for ventures that might be profitable.

Previously, BOD incurred expenditures totalling £58 815 solely for the purpose of exploring new licences in Zimbabwe. This came as it awaited the granting of a permit to Vast Resources to progress the Marange project, to which the miner was a party.
Zimbabwe’s diamond industry has faced several challenges over the years, including allegations of human rights abuses and corruption.
In response to these issues, Zimbabwe established a new diamond policy in 2019 aimed at promoting transparency and accountability in the sector.
The country’s diamond production declined by 22.1% to 1.03 million carats in the third quarter of 2023 as load shedding disrupted mining activities, according to the Reserve Bank of Zimbabwe.

By ETimes

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