• Sun. Apr 14th, 2024

Murowa full year diamond output up 3%

ByEconomic Times

May 4, 2023

…to expand exploration activities

Zimbabwe’s Murowa diamond mine recorded a marginal 3% increase in production in 2022, largely due to improved operational efficiencies.

In recent years, Murowa Diamonds has invested in modernizing its operations and increasing production. This has led to an increase in the volume of diamonds produced and improved efficiency in the mining process.

“RZM Murowa (Private) Limited managed to successfully complete and bring to production its Project Crown Jewel 500tph plant in the second half of the year,” its parent company RioZim said in a statement to shareholders.

“The forecast production upside from the plant will however, only reflect subsequent to year end as focus in the current year was on stabilising and optimising the plant. Production for the year therefore, marginally increased by 3% to 426 000 carats compared to the 2021 production of 414 000 carats.”

The material processed came from the pre-mined low-grade and tailings stock piles, as there were no mining operations in the pits.

“The Associate continues to expand its exploration activities including detailed evaluations on extending the life of its pits to further extend life of mine,” RioZim stated.

“The Associate continues to contribute to the overall profitability of the Group as share of profit from the Associate was ZW$102.1 million whilst the prior year’s profit contribution was ZW$525.8 million.”

The country has vast diamond reserves, with estimates suggesting that it has over 800 million carats of diamonds. Zimbabwe’s diamond production has been on the rise in recent years, with the country producing 3,2 million carats of diamonds in 2019, up from 2,8 million carats in 2018.

The majority of Zimbabwe’s diamond production comes from the Marange fields, which are located in the eastern part of the country. The Marange fields were discovered in 2006 and have since become one of the largest diamond producing areas in the world.

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.

Despite these challenges, Zimbabwe’s diamond industry remains an important source of revenue for the country. The government has set a target to produce 10 million carats of diamonds per year by 2023, which could significantly boost the country’s economy if achieved.

To help the government achieve its goal of extracting minerals worth US$12 billion, Zimbabwe’s diamond sector is poised to contribute at least US$1 billion – Harare

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