Zimbabwe's output of diamonds this year is expected to fall to 3.5 million carats from 5.9 million carats mined last year because of a significant decline in alluvial diamond reserves in the Marange gem fields in Manicaland Province in eastern Zimbabwe.
Zimbabwe mines alluvial diamonds from the Marange diamond fields but they are fast depleting, prompting calls for the exploration of new deposits, Rapaport reported.
In his mid-term fiscal policy review statement presented to Parliament last month, Finance Minister Patrick Chinamasa said output for this year would not meet initial projections. "Diamond output for the first half of 2015 is estimated at 1.44 million carats, compared with 1.447 million carats recorded for the same period in 2014," he said .
" Diamond output for the entire 2015 is projected at 3.5 million carats, down from the initial projection of 6.5 million carats." Chinamasa said there was need to speed up consolidation of diamond mining operations in the country.
He called for expediting diamond companies' consolidation, saying it will lead to enhanced mining operations.
Zimbabwe is in the process of consolidating the various diamond mining firms into one company. The consolidation process will see the government becoming the major shareholder with 50 per cent, while private firms in existing ventures share the remaining 50 per cent .
State-owned Zimbabwe Mining Development Corporation has said it is negotiating with a number of potential investors to partner it in exploring for more diamond reserves, particularly kimberlitic deposits, in the Chiadzwa area.
