Pangea DiamondFields Sells Dimbi Project, Exits CAR

Pangea DiamondFields has decided to sell Dimbi Diamonds SAU, the holding company for the Dimbi project in the Central African Republic, to a senior employee, the company announced Tuesday. In the deal, Pangea is selling the subsidiary for $500,000 and will receive 5 percent royalty payments based on future gross sales.

The company did not disclose the name of the employee or his position in the company.

The $500,000 will either be paid from the proceeds of the first diamond sales or from the proceeds of asset sales should the purchaser choose not to operate the project, the company stated.

“While Pangea considers that the fundamentals of the Dimbi project are attractive, the logistical support required to maintain a commercial scale operation and the long lead times associated with the procurement of equipment and spares are considered to be unviable at the company’s planned scale of operations,” Pangea said in its statement.

The company will also be closing its Etoile project, marking its exit from the Central African Republic.