Govt Closes Unlicensed Diamond Mines

The Zimbabwean government has announced that as of yesterday, they have been (and will continue to) seize and close down diamond mines in the country that are operating without a proper license.

It is believed that the government wants these diamond mines to join the Zimbabwe Consolidated Diamond Company government conglomerate. This conglomerate was established last year when the government ordered diamond companies, including joint ventures with Chinese companies mining gems in the eastern Marange to join.

Mines Minister, Walter Chidhakwa, told reporters that the government is requesting all diamond companies (that are not part of the state conglomerate) to stop operations immediately:

“…The government is hereby requesting the diamond companies to stop all operations and shut down all processes, to co-operate in the handover and takeover and to immediately vacate the mining areas without any items,” he said.

He continued saying that the government would start seizing mines in two specific areas as of yesterday:

“…today [Monday] the government is taking over mines in Chiadzwa and Chimanimani,” he told reporters.

Chidhakwa continued saying that the Zimbabwe Consolidated Diamond Company – (which is state-owned) will now hold all the diamond claims in the country, but said the state was not nationalising the mines.

“…We are not expropriating. Remember the concession that we are taking does not belong to the company … it vests in the state. We are not touching the equipment, the bulldozers, the excavators, everything that you have put up remains your assets,” he said.

Zimbabwe was the 8th largest diamond producer in the world with 4.7 million carats in 2014, but the country has been plagued by issues with diamond mining as well as violence and extortion relating to the so-called ‘blood diamonds’.