JOHANNESBURG - South African company, New Reclamation Group, a private limited company, is reportedly planning to form a venture with Zimbabwe to mine diamonds from a deposit that human rights groups say has been the site of military atrocities.According to documents, the company’s chairman David Kassel has resigned from his position to take part in the operations to exploit the diamonds.
New Reclamation will reportedly manage mining on the diamond deposit through its company Grandwell Holdings Ltd. in partnership with Marange Resources Ltd., a unit of the state-owned Zimbabwe Mining Development Corp.
Part of the land the company will use is held in a lease by a British company, African Consolidated Resources. In 2006, the Zimbabwe government seized the land from the British company after gems were found in the deposit.
Andrew Cranswick, chief executive officer of African Consolidated Resources said the New Reclamation’s reported mining plans with the Zimbabwe government set a bad precedent for any future investment in Zimbabwe.
“These will effectively be stolen diamonds, and any diamonds coming out of there will be stolen goods. So we have this natural resource plundered and looted in an organized fashion by foreign thugs,” he said.
Cranswick said New Reclamation would be operating on the northern part of its claim through a company registered in Mauritius.
Post published in: Manufacturing