Diamond Miners To Sue Mugabe Gov't After Zimbabwe Nationalizes Assets

Mining and Exploration
24/02/2016 12:38

Zimbabwe Mines and Mining Development Minister Walter Chidakwa on Monday said all diamond mining activities in Marange and Chimanimani have to stop. He ordered the diamond miners - which are mainly partnerships between Chinese and other investors and state-owned companies - hand over the mines to the state. Mining sources have now told Fin24 the affected miners are weighing their options to respond. Among the options being pursued are litigation against the government's decision, while others have already started to slow down operations in anticipation of the shutdown as their operating licences were not renewed. "Some of the companies have already started deliberations for litigation and they are not taking this lightly. It's another setback for the investment climate... this will worsen the regulatory framework and the ease of doing business because of policies that always change after investors commit funds," said a knowledgeable source in Zimbabwe.