Mining’s old guard needs strong medicine
A new report details subpar investor returns in the mining industry over the last decade, particularly big cap diversified companies which have not adapted to new realities.
Angola’s state-run diamond company Endiama has partnered with six other firms in order to explore a mining concession in the regions of Lunda Norte and Sul, Diamond Intelligence reports.
The ownership of the 626-square-kilometer alluvial mining concession is broken down as follows: Endiama will own 25% of the project, Escom Mining will own 40%, Tchegi will own 16%, Organizacoes BK will own 7%, Hipergesta will own 6%, Somia will own 4% and Ysakama will own 2%.
Endiama representative Helder Bataglia said that $23 million has been invested in the project and that another $8 million in funds will follow.
Bataglia added that the mine has been active for the last 14 years and as such it will continue to be a major producer of diamonds and revenues.
The country seems to be on a roll, as the chairman of Angolan state diamond company, Endiama said last week activities diamond mines in standby due to the global financial crisis, are due to begin again in October.
The African nation, the world’s fifth-largest diamond producer by value, has had a hard time attracting foreign investment due to corruption, alleged human rights violations and frequent smuggling.
2 Comments
FREDDIE MARTINEZ
Would appreciate if I can hear good news also from Senor Helder Bataglia relative to the resumption of diamond mining operation of APL-Projecto Luarica in Lunda Norte. The company which is under the operational control of Endiama sent us all Filipinos home last 2009 with a strong promise to pay their 7 to 9 months accountabilities with us.
James A. Napier
I think Bataglia is Escom’s representative, not Endiama’s!