Namibia Wants Larger Share of De Beers Marine Mining

Negotiations are underway between the government of Namibia and De Beers over the country’s stake in the diamond miner’s local marine mining firm. Namibia seeks to raise its 30 percent stake in the diamond miner’s Namibian marine mining firm, probably to a 50 percent share. De Beers Marine Namibia produced over 1 million carats in 2006.

“The Namibian government is currently in talks to increase shareholding in De Beers Marine Namibia,” Rob Smart, chairman of De Beers Marine Namibia said on Tuesday.

“Indeed, some are saying why 30 percent and not 50 percent of the shareholding,” Namibia President Hifikepunye Pohamba replied. The Namibian government‘s stake in De Beers Marine Namibia is through its 50 percent holding in Namdeb, jointly owned by De Beers.

Namdeb produced more than 2 million carats last year, up from 1.77 million carats in 2005.

The government’s interest in marine operations follows a doubling in offshore production since 2002.

Besides De Beers, Lev Leviev also owns a marine operation in Namibia.