De Beers Suspends SA Diamond Mining Due to Power Shortage

Due to a severe national power shortage in South Africa, De Beers Consolidated Mines (DBCM) has ceased production from its six mines, reducing its power consumption – and its mining operations – to “survival load” levels.

All major mining operations that are major clients of Eskom, South Africa’s electricity company, have been requested to immediately reduce consumption of power from the national grid to an absolute minimum. Production has been halted at the Venetia, Finsch, Kimberley, Cullinan, The Oaks, and Namaqualand diamond mines.

“Survival load” is the use of sufficient power to avoid risk to employees and property, and, in the case of DBCM’s two underground operations – Finsch and Cullinan – safe underground working conditions once power is fully restored.

DBCM, as a member of the Chamber of Mines, is in discussions with Eskom and the government about the anticipated length of the power cut. The company has been advised to prepare for contingencies for a long-term cut in power and is awaiting additional information.

Earlier this week, DBCM also signed the Energy Efficiency Accord issued by the Department of Minerals and Energy. The company published an Energy Policy and an Energy Management Framework for implementation across its South African operations.

This strategy aims for a two to three per cent reduction in the use of energy per year over the next seven years, thereby achieving the targeted figure of a 15 percent improvement by 2015 as aimed at in the accord.

Eskom provides 95 percent of South Africa’s country's electricity needs.