Zimbabwe wants for 50 pct shares in diamond mines

Zimbabwe's mines minister has said the government will insist on 50 percent shareholdings in all diamond mining ventures, state media reported on Tuesday.

Zimbabwe wants for 50 pct shares in diamond mines

Zimbabwe's mines minister has said the government will insist on 50 percent shareholdings in all diamond mining ventures, state media reported on Tuesday.

The southern African country passed empowerment legislation two years ago that requires foreign-owned mines to hand majority control to locals and the government.

Mines Minister Obert Mpofu said the government would not negotiate on its stance.

"With diamonds, we want 50-50 percent shareholding in joint ventures with investors, that's not negotiable," Mpofu was quoted by the Herald newspaper as telling parliament's committee on mining.

Mpofu is consulting industry officials on a new mining bill.

The World Diamond Council last week said the country should implement the Kimberly Process recommendations or risk suspension.

Mpofu said the army would only move out once the government had addressed security issues around the fields.

He however said the government was negotiating with some investors to partner in the mining of diamonds in Marange, in eastern Zimbabwe, where he said sales of diamonds amounted to $8.2 million this year. A government agency is doing the mining there.

"We are talking to big investors, we are finalising the details and very soon we will be commissioning the mine. These are, however, delicate and sensitive negotiations," he said without giving details.



Reuters

Last Mod: 01 Eylül 2009, 16:43
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