Business / Companies
Zim diamond mine shuts down
10 Jun 2014 at 17:20hrs | Views
Bikita based Nan Jiang Africa Resources has ceased operations after exploration results showed that the kimberlitic pipes in the area do not contain diamonds. Over 300 workers have since been retrenched. Only 21 security guards remain on site manning the premises.
Nan Jiang Africa Resources is a consortium of Chinese investors and a local businessman. It has been exploring for diamonds in Bikita for over two years.
Sources said mining equipment and a mothballed plant at the site were now under care and maintenance while the firm was considering its next move. When The Herald visited the site last week guards said they were given instructions by management to look after the equipment.
They confirmed that no mining activities were taking place at the site. The company's site manager Sam Muchemwa would not shed light on developments at the mine.
"We are only left with a few workers who are looking after mining equipment and the plant but the rest were retrenched because our diamond exploration results were negative.
However, the best person to speak to is our geologist, Tension Hlatini," said Mr Muchemwa.
Hlatini would not comment on the matter. Sources at the mine said the company was waiting for Government to allocate it a new claim.
"We hope Government will give us another area to explore because the kimberlitic pipes here at Devuli Ranch are non-diamondiferous. This means they do not have diamonds," a source said. Mines and Mining Development deputy Minister Fred Moyo said he was not aware of plans to allocate Nan Jiang Africa Resources a new claim.
"What we know is that the company could not find the diamond resource in Bikita. As a ministry we know of their investment in diamond exploration but they could not quite find the resource they were looking for.
As for plans to allocate them additional claims, I do not know have details, the ZMDC would know better because they are the ones dealing with joint ventures," said Moyo.
He said Government was in the process of consolidating all diamond mining activities in the country. Bikita Rural District council chief executive Johnson Mpamhadzi said he received a report on cessation of operations by Nan Jiang Africa Resources.
"The closure of the mine is a big loss to Bikita in terms of employment. Many people have lost their jobs and we do not even know what the company is going to do with the heavy machinery they had moved in. They had also connected electricity to the mine," he said.
Mpamhadzi said council would consider starting a training centre at the mine if offered the premises.
Nan Jiang Africa Resources is a consortium of Chinese investors and a local businessman. It has been exploring for diamonds in Bikita for over two years.
Sources said mining equipment and a mothballed plant at the site were now under care and maintenance while the firm was considering its next move. When The Herald visited the site last week guards said they were given instructions by management to look after the equipment.
They confirmed that no mining activities were taking place at the site. The company's site manager Sam Muchemwa would not shed light on developments at the mine.
"We are only left with a few workers who are looking after mining equipment and the plant but the rest were retrenched because our diamond exploration results were negative.
However, the best person to speak to is our geologist, Tension Hlatini," said Mr Muchemwa.
"We hope Government will give us another area to explore because the kimberlitic pipes here at Devuli Ranch are non-diamondiferous. This means they do not have diamonds," a source said. Mines and Mining Development deputy Minister Fred Moyo said he was not aware of plans to allocate Nan Jiang Africa Resources a new claim.
"What we know is that the company could not find the diamond resource in Bikita. As a ministry we know of their investment in diamond exploration but they could not quite find the resource they were looking for.
As for plans to allocate them additional claims, I do not know have details, the ZMDC would know better because they are the ones dealing with joint ventures," said Moyo.
He said Government was in the process of consolidating all diamond mining activities in the country. Bikita Rural District council chief executive Johnson Mpamhadzi said he received a report on cessation of operations by Nan Jiang Africa Resources.
"The closure of the mine is a big loss to Bikita in terms of employment. Many people have lost their jobs and we do not even know what the company is going to do with the heavy machinery they had moved in. They had also connected electricity to the mine," he said.
Mpamhadzi said council would consider starting a training centre at the mine if offered the premises.
Source - The Herald
