Plans to Consolidate Zim Mines Facing Opposition
May 19, 15
(IDEX Online News) – Plans by the Zimbabwean government to consolidate diamond mines operating in the Marange area of the country are in limbo, amid reports that mining companies are resisting the proposed move.
According to media reports, unnamed insiders said the diamond companies were "seriously" resisting the move, adding that the government would have to make significant compromises to get the mines to accept the proposals, reported the Zimbabwe Independent.
According to the initial proposal, the consolidation process was supposed to be completed by the end of March and would give the Zimbabwean government a 50-percent equity stake in the new company.
There are five minerss operating in Marange - Anjin. Diamond Mining Corporation, Jinan Mining Private Ltd, Marange Resources and Mbada Diamonds.
The consolidation proposal is part of Zimbabwe’s black economic empowerment program, which requires foreign-owned companies to sell 51 percent of their shares to black Zimbabweans.