Zimbabwe tells diamond mining companies to cease operations - CNBC Africa

Zimbabwe tells diamond mining companies to cease operations

Southern Africa

by Reuters 0

The new state-owned Zimbabwe Consolidated Diamond Company will now hold all the diamond claims in the country. Photo: Flickr.

Diamond mining companies in Zimbabwe's Marange fields are to stop their operations immediately because their licences have expired, the country's mines minister said on Monday.

The diamond fields, located in the eastern part of the country close to the Mozambican border, are mined by nine joint-venture companies, each with a 50 percent stake while the government holds the other half.

"Since they no longer hold any titles, these companies were notified this morning to cease all mining activities with immediate effect," Walter Chidhakwa told reporters and executives from the affected mines.

The new state-owned Zimbabwe Consolidated Diamond Company will now hold all the diamond claims in the country, Chidhakwa said, adding that the move was an imperative of national economic development.

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