De Beers strikes first kimberlite field in 30 years

De Beers, the world’s largest diamond miner by value, and its joint venture partner in Angola, state-owned Endiama, have discovered a new kimberlite field, its first such discovery in three decades.

The diamond giant said it struck kimberlite, the most common source of mined diamonds, in its first drill hole into a high-priority target cluster in July. It plans to conduct more drilling, geophysical surveys and lab analysis over the coming months to determine the kimberlite type and its diamond potential.

“Angola is, in our view, one of the best places on the planet to look for diamonds, and this discovery reinforces our confidence,” De Beers chief executive Al Cook said in the statement.

De Beers, owned by Anglo American (LON: AAL), has explored for diamonds in Angola with Endiama since April 2022, after signing two mining investment deals with the government. In 2024, the partners expanded their agreements to cover diamond processing and further exploration.

The find comes as De Beers faces an uncertain future. Anglo American announced in May 2024 it would sell the unit or launch an initial public offering, part of a corporate shake-up following its defence against a  £39 billion ($49 billion) takeover bid by Australian rival BHP (ASX: BHP).

At least six consortia are reported to be interested, including commodities billionaire Anil Agarwal, Indian diamond firms KGK Group and Kapu Gems, and Qatari investment funds. Botswana is also said to be pursuing a controlling stake.

The sale process unfolds against weak market conditions, with prices pressured by competition from lab-grown stones and slowing demand in China.