The Angolan government said it will approve a new concession to De Beers to explore for diamonds.
De Beers had completed an extensive exploration programme on its Lunda NE concession fr om 2005 to 2012, wh ere 118 kimberlite pipes were discovered.
Of these, 75 were tested for diamond grade, leading to the resource evaluation and conceptual study of the Mulepe-1 deposit, which concluded that a stand-alone deposit was not economic under current assumptions.
“The company made that big investment in prospecting, and, unfortunately, it didn't have great results, but it is making a new bid and another investment will be approved,” Reuters quoted the country’s geology and mines minister Francisco Queiroz as saying.
De Beers chief executive Philippe Mellier said last month that the group was currently in contact with Luanda over the concession.
“We expect to have news about exploration licenses before the end of this year and we are in contact with the Angolan government to discuss that. We hope that it's going to be successful,” he said.
Group head of media relations Lynette Gould had earlier told Rough&Polished that early stage work was expected to commence this year in Angola.
“Consequently, the decision was taken to relinquish the Lunda NE concession,” Gould said.
De Beers’ main competitor, ALROSA of Russia already operates the Catoca mine in a joint venture with Angola’s state-owned Endiama.
Endiama and ALROSA also announced last February plans to explore diamonds in eastern Angola.
Queiroz said this would likely produce huge results.
“De Beers and ALROSA could help contribute to a boom in Angolan production in a short space of time,” he was quoted as saying.
The Russian firm would spend $15.5-million on rights and over $150-million if deposits are found, Queiroz said.
Mathew Nyaungwa, Editor in Chief of the African Bureau, Rough&Polished
