Escom Mining to prospect for diamonds at concession in Tchegi, Angola

9 June 2011

Luanda, Angola, 9 June – A contract of association for the Tchegi concession, in the Angolan provinces of Lunda Norte and Sul, which is an alluvial mine, was signed Wednesday in Luanda by Angolan diamond company Endiama and Escom Mining, according to Angolan news agency Angop.

Under the terms of the contract Endiama will have a stake of 60 percent and Escom Mining will own the remaining 40 percent. The region under concession has an area of 635.9 square kilometres.

The chairman of Endiama, António Carlos Sumbula, mentioned the financial crisis which, he said, “left a very negative legacy for the sector, such as unemployment and low diamond prices,” but added that with the rise in process it was now possible to start prospecting and mining activities.

Sumbula said that Endiama had launched an international campaign in several countries to attract investments to the sector which, he said, “has had a positive result with the recent arrival of many investors.”

The representative of Escom Mining, Hélder Bataglia dos Santos, said that the contract was the result of some concessions signed with Endiama about five years ago and noted that the company had so far invested around US$578 million in the diamond sector, of a total US$900 million invested in Angola. (macauhub)