Namdeb Scheduled to Resume Mining Next Month

Namdeb plans to resume diamond mining operations in July, after a three-month production hiatus, as parent company De Beers is starting to see the first signs of recovery in demand for rough diamonds. The company is a 50:50 joint venture with Namibia’s government.

“The re-opening of Namdeb, after the production interruption was not necessarily meant to coincide with an improved diamond market,” Namdeb Group Manager of External and Corporate Affairs Hilifa Mbako told the Namibian Economist.

The rise in demand for rough diamonds reflected in premiums dealers are willing to pay in the secondary market and reported increased orders by Diamond Trading Company (DTC) Sightholders for the coming Sight this week.

According to Mbako, Namdeb’s output for the year will be determined by demand, predicting that, due to reduced demand for polished diamonds in the consumer market, final production figures will be lower than what would have been originally planned.

“When recovery does come the lower cost base that we have got in place now, together with the extra efforts we have made in terms of our operations, will put us in a really good position. We are going to come out of this in a stronger position than we went into it in terms of our organization and our cost base.

And when that happens it will allow us to get refocused on our long term vision, which is one with a lot of excitement,” he said.