De Beers Finds Buyer for Namibia Mine

RAPAPORT... De Beers has sold the Elizabeth Bay mine for NAD 120 million ($8.2 million), a year after it ceased operations at the deposit.   The miner chose Lewcor Group, a 100% Namibian-ownedconsortium, following an extensive search for a new owner that would be able tooperate the mine - part of its Namdeb joint venture with the government of Namibia - in a sustainable way, and would also retain De Beers'employees and contribute economic value to Namibia, it said last week. However, the amount of the transaction could increase to NAD 180 million ($12.4 million), as Namdeb will earn a share of revenue from the sale of diamonds recovered from certain marine-mining areas.  "Throughout this process, our objective has been to createthe best possible circumstances for reopening the operations, recreating jobsand growing empowered participation in Namibia's diamond industry," said ChrisNghaamwa, chairman of Namdeb. "A rigorous, independently advised processenabled Namdeb to select a company with not only the right mining and financialcredentials, but also a commitment to meet future social and environmentalobligations." De Beers ceased operations at the site in September 2018. Although the mine still contains a viable supply of diamonds, output failedto meet the company's needs and it could no longer run the depositeconomically, it said. Image: Elizabeth Bay mine. (De Beers)