Senator David Coltart Blog
By David Coltart
9th December 2013
We have been told for some time now that the alluvial deposits of diamonds at Marange are fast running out which has now been confirmed by the following article in today’s copy of the Herald.
Zimbabwe’s diamond deposits in Marange have been allocated under the tenure of the previous Minister of Mines to a variety of companies which have very little experience in mining diamonds. These companies have exploited the cream of our deposits with very little to show for the people of Zimbabwe in terms of dividends and investment into Zimbabwe’s infrastructure. They are now complaining that they need new allocations of alluvial diamond deposits because in their own words (in the article) “(their) ore is much deeper to depths of about 40 metres and some of the areas (they) have had to abandon mining because it was no longer commercially viable.â€
Kimberley and other mines throughout Southern Africa, including the rich Botswana mines, have all been mined successfully and profitably way below 40 metres. Indeed both the South African and Botswana economies have been built on the back of these very mines. However these deposits were exploited by companies which had the expertise to mine efficiently and crucially which paid their taxes and dividends correctly and on time. The Herald article confirms what we have feared for the last 5 years since these diamond fields were allocated to inexperienced companies – namely that they do not have the expertise to mine efficiently and that they are not ploughing back into Zimbabwe what they should be.
The Zimbabwean Government would be well advised to cancel these contracts and to enter into joint agreements with companies which have demonstrable experience in diamond mining. Botswana has shown that agreements such as these can be entered into in a manner which benefits the country – we should be asking the Botswana Government to assist us in entering into new contracts which will be more beneficial to Zimbabwe than the experience of the last few years.
In addition a thorough audit should be conducted of the diamond mining operations of the last few years. It is criminal that some have made such windfall profits out of this unique national resource without hardly any benefit to show for the people of Zimbabwe. Those responsible for this appalling state of affairs should be held to account for their actions.
http://www.herald.co.zw/diamond-miners-hit-hard-rock/