Tango Exits Coal to Focus on Diamonds

RAPAPORT... Tango Mining plans to dispose of its South African coalbusiness to focus on its diamond operations, amid "continued operational success" at its Oena mine, the company said. Kevin Gallagher, a director of Tango, will purchase theminer's 74% interest in Kwena Group, which holds its three ongoing coal projects. Aspayment, Gallagher will return nearly 40 million shares of common stock toTango, amounting to CAD 2 million ($1.5 million), the miner said last week. The Oena diamond mine in South Africa will remain the company's coreasset. Last month, Tango reported an average price of $1,382 for rough from thedeposit, while in June, it fetched up to $7,730 per carat for individual stonesfrom the site. The company is also conducting trial diamond mining in Angola, and has an exploration project in Liberia. Tango willchange its name to Southstone Minerals as part of the refocusing. Image: Ore retrieval at the Oena mine. (Tango Mining)