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De Beers begins operation of $2.3 billion underground mine in South Africa

Published

10 months ago

July 25, 2023

Global diamond giant De Beers has revealed that its $2.3 billion new underground Venetia mine in South Africa has begun production.

De Beers stopped its 30-year open-pit mining operations at Venetia in December 2022 to switch to the underground mining project it had been building for the previous ten years.

The managing director of De Beers Group, Moses Madondo noted that “the investment in taking the world-class Venetia mine underground enhances De Beers Group’s global production for the long term and is an indication of our commitment to South Africa.”

According to a statement from De Beers, the highly automated underground facility will eventually generate 4 million carats of diamonds annually and is presently 70% complete. The mine’s lifespan will also be extended to at least 2045 over the coming years by ongoing construction and production ramp-up.

South Africa is ranked fifth in the world’s largest diamond producers by volume. Since its 1992 opening, the Venetia mine has contributed 40% of the nation’s annual production of diamonds.

A report released in May by Statista says South Africa’s diamond production amounted to 9.7 million carats in 2021 compared to the previous year, wherein the production value was 8.5 million carats, while the review of the year 2022 is ongoing.

The Venetia mine is located in the Limpopo Province’s Northern Transvaal, 32 kilometers south of the Limpopo River, in South Africa’s northeast.

Related Topics:De Beers Diamond Featured South Africa

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Nigerian govt denies reports it plans to borrow pension fund for infrastructure

Published

13 hours ago

May 17, 2024

Ifeoluwa Dada

The Nigerian government has denied reports that it plans to borrow the N20tn pension fund to finance infrastructural projects.

In a statement made in Abuja, Wale Edun, the Minister of Finance and Coordinating Minister of the Economy, stated that the government would abide by the laws and guidelines in place pertaining to the pension fund.

Following a two-day Federal Executive Council meeting at the Presidential Villa on Tuesday, the minister reportedly informed reporters that the government would present a plan to use local funds, including the fund, to finance infrastructure development.

Edunstated that the government does not intend to exceed these legal boundaries, emphasising that the government was committed to protecting workers’ pensions.

“It has come to my notice that stories are making the round that the Federal Government plans to illegally access the hard-earned savings and pension contributions of workers. Nothing could be farther from the truth.

“The pension industry, like most the financial industries, is highly regulated. There are rules. There are limitations about what pension money can be invested in and what it cannot be invested in.

“The Federal Government has no intention whatsoever to go beyond those limitations and go outside those bounds which are there to safeguard the pensions of workers.

“What was announced to the Federal Executive Council was that there was an ongoing initiative drawing in all the major stakeholders in the long-term saving industry, those that handle funds that are available over a long period to see how, within the regulations and the laws; these funds could be used maximally to drive investment in key growth areas,” Edun clarified.

The plan to spend the pension fund was reported and was widely criticised. The Trade Union Congress of Nigeria and the Nigeria Labour Congress had earlier on Thursday urged the government to abstain from making any changes to the pension fund.

They stated, “Nigerian workers have entrusted their hard-earned savings for retirement security, not as a means for government projects. It is imperative to halt any further plans to tap into these funds, especially given the lack of transparency and accountability in past government borrowing practices.”

VenturesNow

Nigeria’s inflation hits 28-year high of 33.69% in April

Published

2 days ago

May 16, 2024

Ifeoluwa Dada

Nigeria’s consumer inflation reached a 28-year high of 33.69% in April, up from 33.20% in March, according to statistics agency figures released on Wednesday.

President Bola Tinubu’s administration has slashed petrol and energy subsidies and devalued the local naira currency twice.

To manage pricing pressures, the central bank has hiked interest rates twice this year, including the highest hike in almost 17 years. The central bank governor has stated that rates will remain high for as long as necessary to reduce inflation. The bank will host another rate-setting meeting next week.

When compared to the previous year, the inflation rate in April 2024 was 11.47 percentage points more than in April 2023, when it stood at 22.22 percent. This implies that the headline inflation rate has increased dramatically during the last year.

According to the National Bureau of Statistics, food and nonalcoholic beverages remained the largest contributor to inflation in April. Food inflation, which accounts for most of the inflation basket, rose to 40.53% yearly from 40.01% in March.

Price pressures have left millions of Nigerians facing the biggest cost-of-living crisis in decades, as they fight to satisfy their most basic necessities.

Tinubu has offered a 35% salary increase for state personnel to alleviate pressure on government workers. To assist disadvantaged households, his government has resumed a direct cash transfer program and provided at least 42,000 tons of grains such as corn and millet.