De Beers and Namibia Sign 10-Year Rough Diamond Sales Agreement
May 17, 16
(IDEX Online News) – The De Beers Group of Companies and the government of Namibia have announced the signing of a new 10-year sales agreement, the longest ever between the two, for the sorting, valuing and sales of Namdeb Holdings diamonds.
Namibia is expected to benefit from an increase in rough diamonds made available for beneficiation, with approximately $430 million (a figure that is index-linked to price so that volumes do not decrease relative to price increases) of rough diamonds being offered to Namibia Diamond Trading Company (NDTC) customers, annually.
Government-owned independent sales company Namib Desert Diamonds Pty Ltd will be provided with 15 percent of Namdeb Holdings’ run-of-mine production per annum.
Minister of mines and energy Obeth Kandjoze welcomed the agreement and highlighted that it cemented Namibia’s position as an important international diamond player. “De Beers and Namibia have a longstanding and successful partnership and I am pleased we will continue working together for the benefit of Namibia and the diamond industry,” he said.
De Beers Group CEO Philippe Mellier said that the agreement was important in further developing Namibia’s socio-economic development. “Diamonds can have a powerful and transformative effect on a country’s prospects when effectively managed and I commend our partners in government for their vision regarding the role of diamonds in national development,” he said.