Namibia: Diamond Factories On the Brink of Collapse. By Chamwe Kaira DIAMOND cutting and polishing companies want the government to save them from total collapse by cutting the price of rough diamonds the state supplies to them.
The global diamond industry is beset by problems that have seen prices fall and production cut in most countries, including the Namibian market. But locally, owners of factories say the government can solve the crisis by providing cheaper rough diamonds that would ensure the survival of factories. "Time is running out. The industry is about to collapse," said Burhan Seber, managing director of a Windhoek-based factory, Hardstone Processing, in an interview. The Namibia Diamond Trading Company, a 50/50 venture between the government and De Beers, supplies rough diamonds to local cutting factories. The situation is so dire that only four of the once thriving 13 factories remain in operation.
"All we are saying is that there is a crisis in the industry. "The factories are now like ghost towns. "Times are bad. Southern Times - New diamond deal to earn Namibia U$550m. 29 Jun 2015 Windhoek – The new diamond deal between the Namibian Government and De Beers which will see the local supply of rough diamonds to the cutting and polishing industry increase from 10 percent to between 25 and 30 percent will see Namibia making U$550 million through local owned companies.
This is according to Mines and Energy Minister Obeth Kandjoze who described the new deal as significant. Information and Communication Technology Minister Tjekero Tweya told the media on Monday that Cabinet had approved the new terms of references for the sales and marketing agreement with De Beers Société Anonyme, the holding company of the De Beers Group of Companies. The minister said the new arrangement will allow for value addition of the local diamonds from Namdeb and “should be able to give us about U$150 million annually.
“Nothing should be affecting NDTC and all other local productions. De-beers-namibia-to-cut-polish-more-gems-1.1875507# Oil to make Namibia rich « iafrica.com. Namibia’s economic growth potential lies in the expansion of its mines, particularly uranium, an increased need for energy independence and the discovery of oil and gas.
New analysis from Frost & Sullivan ( ), The Future of Namibia and Energy , finds that the Namibian government currently imports over half of its total electricity needs. The discovery of the Kudu gas field and anticipated oil resources could help the country achieve greater energy self- sufficiency and reduce its dependence on imports. "A breakthrough in the oil and gas sector in Namibia, which is relatively underexplored, holds enormous potential for the country," noted Frost & Sullivan’s Energy and Environmental Research Analyst Muneera Salie.
"If these resources are proven to exist, it could result in the country becoming one of the richest in Africa in terms of GDP per capita within the next five to ten years. " Mine expansion should trigger the need for more electricity generation, encouraging growth in this sector. Repsol Exploration assumes operatorship of Namibia Licence 0010. Repsol Exloration has the operatoship of the Licence 0010 with an interest of 44 per cent.
(Image source: Repsol)Repsol Exploration has assumed operatorship of Namibian Licence 0010 after it completed a farmout deal with Arcadia Expro Namibia and Tower Resources’ subsidiary Neptune Petroleum Tower Resources announced that its subsidiary, Neptune Petroleum’s interest in Namibian Licence 0010 has doubled with the completion of the deal. According to the terms of the farmout agreement, Neptune has released escrow funds of approximately US$5.3mn to reimburse Arcadia for 30 per cent of Arcadia’s past costs on the licence and it will assume 30 per cent of costs from 1 July 2012.
With the transactions now completed, Repsol has the maximum interest in the Licence 0010 with 44 per cent and the partners stand at Tower 30 per cent and Arcadia 26 per cent. Tower CEO Graeme Thomson said, “We are pleased that the agreements have now been completed. Namibia: Investors Keen On Otjikoto Gold Project. B2GOLD, the majority shareholder in the Otjikoto gold project, has about N$1,3 billion to develop its planned open pit mine approximately 300 km north of Windhoek.
The Canada-based company has secured a US150 million revolving corporate loan facility from Macquarie Bank, a global investment bank, B2Gold said in a statement. The feasibility study for Otjikoto is also completed, the company said. It showed probable ore reserves containing 1,34 million ounces of gold, giving the mine a life of 12 years. Construction has began and should be finished in the fourth quarter of 2014 when mill production will start, B2Gold said. B2Gold's pre-production investment in Otjikoto will be more than N$2 billion. The company aims to produce an average of about 141 000 ounces of gold per annum for the first five years.
Otjikoto has "excellent exploration potential", B2Gold said. Diamond industry integral to Namibia's wealth.