Chinese seek more diamond mines

via Chinese seek more diamond mines November 8, 2013 By Elias Mambo Zimbabwe Independent

One of the largest diamond mining companies operating in Chiadzwa, Anjin Investments, has approached the government seeking new diamond mining concessions as the area it is operating in is fast running out of alluvial gems.

Anjin is a joint venture company between the Zimbabwe Defence Forces (60%), Zimbabwe Mining Development Corporation (10%) and a Chinese investor (30%). Government sources revealed Anjin representatives approached the Ministry of Mines and Mining Development last week seeking new concessions in response to the company’s falling production levels due to depleted diamond resources.

Since their discovery in 2006 alluvial diamond deposits, which are usually found on the surface, have been heavily extracted with huge benefits accruing to diamond mining companies, but revenue generated has declined as the resource gets depleted.

“It now takes the companies more than four tonnes of gravel to get only 15 carats of gems, which clearly shows alluvial diamonds have been depleted,” said a source. “The revenue has tremendously declined by as much as 90% over the past few months.”

Anjin director Retired Brigadier Munyaradzi Machacha yesterday confirmed meeting with the ministry, but said the purpose was to seek permission for further exploration in Chiadzwa.

“Mining is a continuous process of exploration and surveys to discover new deposits,” Machacha said. “We are conducting geological surveys on fresh concessions not because diamonds are running out, but to discover more so that we keep on mining.”

It is estimated that Marange diamonds account for 25% of total world deposits, but another source insisted the figure was an over-estimation based on speculative exploration.

“Exploration that took place and the resultant estimations were based on the activities of artisanal miners, and on projections around alluvial deposits,” said the source.

A local geologist told the Zimbabwe Independent that alluvial gems are usually deposited on the surface and extraction involves digging and sifting through mud, sand and gravel using shovels, sieves or even bare hands.

“Typically, diamonds come from geological rock formations called kimberlites,” said the geologist. “Kimberlite rock formations that contain diamonds are eroded over time by rivers and streams and can deposit diamonds in the sediments carried by those streams further downstream from the original source rocks. These deposits are called alluvial diamond deposits.”

Last week Finance minister Patrick Chinamasa said Treasury had not received any proceeds from diamond revenue in the nine months to September 2013.

He told parliamentarians in Victoria Falls at a 2013 budget review seminar that out of a targeted US$40 million expected from diamond sales, nothing had been received during the period under review.

Last year Chinamasa’s predecessor, Tendai Biti, was forced to slash the country’s national budget to US$3,4 billion from US$4 billion after receiving a mere US$41 million out of a targeted US$600 million expected from diamond sales.

 

COMMENTS

WORDPRESS: 11
  • comment-avatar
    William Doctor 8 years ago

    So what do the Zimbabwean people get from the mines? Not much it seems. Another reason why Zanu should be held accountable one day – and their kids.

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    Chivulamapoti 8 years ago

    Anjin is 60% ZANU Defense Force (Mugarbage’s thieves), 30% Chinese ‘Investor’, who nobody knows, but not a Zimbabwean and 10% ZMDC, who stole the none from Private Ownership 2006.
    With the estimated $40 million being the ZMDC’s share, it means $120 million is the Chinese ‘Investor’s’ loot and, wake up, $240 million is ZANU-PF’s booty! Not bad for Mugarbage eh! No wonder the Hon. Biti said Zimbabweans see nothing from diamonds!

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    Mr Mixed Race 8 years ago

    I am disappointed with the damage these Chinese are doing to our dear land.They will keep on destroying more of our land with their cheap method of mining.These guys do not invest on expensive machinery because their profits would decline.There are here to make quick money and go back home rich whilst we remain poor.This is why they want more areas with alluvial deposits to explore cheaply.

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    hayas 8 years ago

    i guess its time zanupf has to accept and swallow their pride…their policies are messed up…VAMUGABE MA POLICY ENYU AKUTIKUVADZA ZVARAMBA IZVI PLEASE TAABHOOO NE NHAMO

  • comment-avatar
    Angel 8 years ago

    ‘CHITONGA TIONE and you too Rob Mugabe GO AND HANG! You have turned our country into one big graveyard’. You have to be fair and say that for a long time the investors that have been coming in have been from the West,” he said. “This means that these are the people that we have been dealing with for the last 100 years. So for you to say that we are targeting Western companies, yet we only have a few Chinese companies in Zimbabwe, is not fair,” People in ZANU are crooks, criminals and heartless and do not deserve your assistance in protecting their stolen wealth. NGAVACHITONGA TIONE. The problem with Zimbabwe it is all talk to fool the poor powerless people. Zimbabwe’s natural and mineral resources belong to all Zimbabweans regardless of race or political affiliation. We were endowed with such huge mineral riches so that we could use them to the benefit of all our citizens – not just a select group of greedy individuals. These riches cannot be dominated by any single group of people at the expense of developing our country and eradicating poverty.
    It is important to appreciate that this type of indigenisation will not create cash in the medium to long term; Zimbabweans must not be fooled that benefits are immediate and new jobs will be created. Where new companies are created from day one with indigenous partners aboard, what will be critical is that those partners have access to capital to invest in the new venture. This is high risk startup capital and means that this nation must become an attractive destination for new investors. It requires long term investment and patience. We just can’t afford that right now. In my opinion, food security, housing, health and access to clean water are more pressing issues to ordinary folk than the mere ownership of shares. Indigenisation will not feed us. The expectations created by Zanu (PF) about the immediate benefits of indigenisation are false, misinformed and unachievable. Zimbabwe’s wealth must be shared equitably to create new jobs and improve the people’s quality of life.In other words when Mugabe says “we” own the land and the minerals underneath it, who is the “we”? Therein lies the catch.

  • comment-avatar

    why is di army chiefs n di chinese allowed to control our natural resources ???Dat simply mins Zim diamond procedes are being remitted in China not Zim treasury.

  • comment-avatar
    Jogo Bonita 8 years ago

    Cant wait for the day these diamonds get finished.

  • comment-avatar
    maisokwazo 8 years ago

    SO WHAT IS NEW COMRADE DISGRACEFUL PATRICK CHINAMASA BITI SAID IT BEFORE AND YOU ARE SAYING THE SAME THING HOW INSANE

  • comment-avatar

    A looting continua. If I was a chefs kid or relative lapping it up I would be very very very frightened!!!!!!

  • comment-avatar
    Rwendo 8 years ago

    Compare Botswana, Debswana and how diamonds have helped transform what was once Bechuanaland, at that time one of the poorest countries in Africa. For us, diamonds have become, like ZANU PF, more a curse than a blessing.

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    Mugarbage 8 years ago

    Ive said it before and i will say it again……the chinese are the route of all evil. they seek out corrupt governments and specifically work with them as they know they can just pay off the people in power and then get anything they want from the country. A handful of corrupt officials get filthy rich and they chinese rape all the natural resources and send it back to communist china. As soon as the crop has been completely destroyed and there is nothing left, these yellow locusts will leave.