"Diamond Miners Not Complying with Zimbabwe Indigenization will Cease Operations"
Post Date: 05 May 2011 Viewed: 444
Diamond mining companies operating in Zimbabwe who fail to comply with recently enacted legislation demanding the indigenization of mining operations will cease operations, the minister appointed to handle indigenization – Savior Kasukuwere – said Monday.
In February, President Robert Mugabe's Zanu-PF party published a report recommending that 51% of Zimbabwe's non-alluvial diamond deposits be transferred to Zimbabwean control and that its alluvial diamond resources be 100% nationalized.
Miners have until May 9 to submit proposals for implementing the government's indigenization requirements. Six firms have already done so, including mining giant Rio Tinto, which holds a 78% stake in the Murowa diamond mine.
Kasukuwere stressed that the indigenization program, designed to ensure that the local population benefits from the country's rich natural resources, was "final" and would be put into action. He added that the government had charged the National Indigenization and Economic Empowerment Board with handling the transition in a "transparent manner."