« Gold to Go To $600 As Investor Switch from Bonds. | Main | Predict Gold To Become Scarcer. »
"Diamonds Are For Ever", But Are Diamond Mines?
Cramer's Mining Weekly reports that the slogan "Diamonds may be forever", but the same cannot be said of diamond-mines.
While De Beers Consolidated Mines (DBCM), the largest producer of diamonds in South Africa, produced a record 15,2-millioncarats last year, it estimates that it will produce just over 14-million carats this year.
Part and parcel of new DBCM MD David Noko’s strategy is to sweat the company’s existing assets, and bring new, additional production on line.
“I do not think that we can grow production from our existing operations – we just can’t.
“Our installed capacity is fixed, and we need capital to improve it,” Noko, who was appointed as DBCM MD on February 7, tells Mining Weekly in an exclusive interview.
And, gaining approval for brownfield projects that do not meet the hurdle rates of the company’s principals is out of the question.
“There would be no point in injecting capital into declining mines like The Oaks, as a return would not be realised, but, by exception, all opportunities are being explored, the major ones being brownfields, but some being greenfields through finding partners that have large resources,” Noko says.
Hence, besides organic growth projects, DBCM’s growth strategy is levered on partnerships with smaller diamond-mining companies.
“If we partner with smaller companies, they will benefit from our knowledge, while we will benefit from the resources that they have acquired,” Noko says.
DBCM has many partnerships in Kimberley, where it has large tailings dumps that require advanced technology to turn the low grades of diamonds that they contain to proper account.
The company is also continuing to research the opportunities of working with junior miners and, in Kimberley, already 25% of revenue emerges from joint ventures with junior miners through contracts.
Comments
I have been browsing online more than 3 hours today, yet I never found any interesting article like yours. It is pretty worth enough for me. In my opinion, if all website owners and bloggers made good content as you did, the web will be a lot more useful than ever before.
Posted by: pieczatki on April 11, 2011 8:11 PM
AOL no.one? th is is joke?-
Posted by: espanol rosetta stone on April 22, 2011 2:55 PM
Outstanding weblog, thanks for writing th is publish
Posted by: Christian Louboutin shoes on April 23, 2011 3:18 PM
Why do notyou guys just come out and say we enjoy very simple logos!???
Posted by: Rosetta stone languages on April 25, 2011 3:45 PM
Im a massive fan already, man. Youve performed a brilliant job creating certain that men and women comprehend where youre coming from. And let me tell you, I get it. Wonderful stuff and I cant wait to read a lot more of your blogs. What youve got to say is critical and requirements to be read.
Posted by: jansport rolling backpack on June 4, 2011 2:30 PM
The beauty of these blogging engines and CMS platforms will be the lack of limitations and ease of manipulation that enables developers to implement wealthy content and 'skin' the web site in such a way that with really little effort 1 would by no means notice what it is producing the site tick all without limiting content and effectiveness.
Posted by: zhu zhu pets on June 4, 2011 3:19 PM
Youre not the average weblog writer, man. You definitely have some thing powerful to add to the web. Your design is so powerful which you could practically get away with becoming a bad writer, but youre even awesome at expressing what you have to say. Such a great blog. Ill be back for far more.
Posted by: Shower Head Holder on June 4, 2011 5:38 PM
Wow, what a weblog! I mean, you just have so significantly guts to go ahead and tell it like it really is. Youre what blogging needs, an open minded superhero who isnt afraid to tell it like it is. This is absolutely something individuals need to be up on. Good luck inside the future, man.
Posted by: mens shoulder bags on June 5, 2011 7:42 AM
I feel a lot more men and women have to read blogs like this. Its so essential to know the way to construct a great blog to get people interested and youve performed just that. The content is excellent, the videos are ideal for what youre trying to say. Awesome, man. Really awesome! Cant wait to read far more.
Posted by: panoxyl on June 5, 2011 6:19 PM
I like it! I like it a good deal. You know exactly what youre talking about, specifically where other people are coming from on this problem. Im glad that I had the fortune to stumble across your weblog. Its certainly an important issue that not sufficient men and women are talking about and Im glad that I got the chance to see all of the angles.
Posted by: Speaker Stands on June 6, 2011 3:26 AM
This is actually a smart weblog. I mean it. You might have so much knowledge about this issue, and so much passion. You also know how to make people rally behind it, clearly from the responses. Youve got a style here thats not too flashy, but makes a statement as huge as what youre saying. Excellent job, indeed.
Posted by: Direct Travel Insurance on June 12, 2011 5:36 AM
Congratulations on having one of the most sophisticated blogs Ive come across in some time! Its just extraordinary how much you can take away from something simply because of how visually gorgeous it really is. Youve put together a great weblog space --great graphics, videos, layout. This is absolutely a must-see weblog!
Posted by: Speaker Stands on June 12, 2011 3:34 PM