Russia’s Alrosa back to mining diamonds in Zimbabwe

Russia’s Alrosa (MCX:ALRS), the world’s top diamond producer by output, is returning to Zimbabwe after almost two years, as the company continues to expand in Eurasia.

The miner will develop exploration and extraction operations in the country as long as it counts with support of the government, it said on the eve of talks in Moscow between Zimbabwe’s President and Vladimir Putin.

Alrosa opened an office in the country’s capital Harare in early December, but the first employees, including geologists and mining engineers are expected to arrive later this month.

Most of the country’s diamond fields are in Marange in eastern Zimbabwe, where production is dominated by the state-owned Zimbabwe Consolidated Diamond Company (ZCD). It is expected to produce 3.5 million carats in 2018, up from 2.5 million in 2017.

In 2008, hundreds were killed and thousands had to leave their homes as Zimbabwe’s military forced artisan miners to leave Marange after the early stages of the diamond rush.

Alrosa, which says it is responsible for 27% of the global rough diamond production in terms of carats, already has operations in Angola and Botswana.

In early 2016, ex-president leader Robert Mugabe went further, evicting all diamond mining firms, including two Chinese joint venture companies from Marange. It said at the time their licenses had expired after they declined to merge under a newly created state-owned mining firm.

Mugabe’s administration was frequently accused by human rights groups and other critics of giving the army and security forces access to mineral wealth following the operation.

Zimbabwe’s new President Emmerson Mnangagwa is already making moves to end the country’s international isolation and attract foreign investment to boost an economy in tatters, including allowing new private investment in the diamond fields.

His government is also considering waiving a rule that prevents foreign investors from holding controlling stakes in its diamond mines.

“We also seek to support Zimbabwe in the development of its diamond-mining industry in line with industry’s best practices,” Alrosa’s Chief Executive Officer Sergey Ivanov said in the statement.

In late October, the company began production at its new Verkhne-Munskoye diamond field in eastern Siberia, which will partly substitute suspended output at the company’s underground Mir mine. That operation was flooded when water seeped in from an open-pit mine above it in 2017.

Alrosa, which says it is responsible for 27% of the global rough diamond production in terms of carats, already has operations in Angola and Botswana.

723 0
Latest Stories

MSHA honours Massey operations for safety achievements

The Mine Safety and Health Administration (MSHA) in the USA has selected the Green Valley Preparation Plant and two mines operated by the Aracoma Coal Co to receive Pacesetter Awards for outstanding safety achievements. Green Valley and Aracoma are operating units of Massey Energy Co. The awards to the Green Valley plant and Aracoma’s Alma and Hernshaw mines honour operations [...]

Eyes on Indian Underground

increasing demand for coal. Industry observers believe that India is poised to become a major market for mining equipment, even larger than China, and this opportunity has led several global mining companies to open up shop in the country at least four


Bateman makes major acquisitions in mineral processing

As IM May is prepared for printing, with an article on developments in mineral processing, comes dramatic news from Bateman. The company has recently acquired the mining-process division of Intertech, with a strong market presence in the CIS. Even more significant, Bateman’s latest acquisition, announced as IM goes to press, is that of the Delkor [...]