De Beers and Namibia sign 50/50 joint venture

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Agreement will give Namibia a bigger stake in proceeds from mining.

The Government of the Republic of Namibia (GRN) and diamond mining company De Beers have signed a new agreement that will give Namibia a bigger stake in the proceeds, says a report by JCK.

The agreement will allow De Beers to continue to market the country’s diamond production. It also allows the government to increase its shareholding in De Beers Marine Namibia (DBMN) from 15% to 50%, deepening the partners’ joint commitment to diamond mining in Namibia, the statement said.

As part of the agreement, the shareholders have agreed to a new 50/50 joint venture holding company for Namdeb and DBMN. The company will hold all of the licenses both for land and sea operations, and will own the diamonds mined from those areas.

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All the diamonds produced by Namdeb and DBMN will continue to be sorted, valued and marketed exclusively by the Namibia Diamond Trading Company, which is also a 50/50 joint venture between the government and De Beers.

Isak Katali, Namibia’s minister of mine and energy said: “Our agreement, and the partnership with De Beers and the GRN has created a solution that will benefit the people of Namibia now and in the long-term.”

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