Partnership is not nationalisation, says De Beers

Partnership does not equate to nationalisation, Sakhile Ngcobo, head of corporate affairs at De Beers Consolidated Mines, said.

Ngcobo was addressing the second day of the Black Management Forum’s (BMF) summit in Johannesburg.

“De Beers has had a long history of success in Africa because of its partnerships. We have partnerships in Namibia, Botswana and also in Angola where exploration is being done.”

Ngcobo said that in all its negotiations with the government of Botswana, which took place every year, the topic of nationalisation had never come up.

“But every year we are asked what we can do better to benefit the people of Botswana.”

The diamond industry was the lifeline of Botswana’s economy and for over 40 years De Beers had enabled the country’s population to enjoy a higher standard of living.

“In our discussions with Botswana, we study the issue of beneficiation though – we have to ask how come China, India and Belgium manage beneficiation [the cutting and polishing of diamonds] and why we as Africans didn’t take the opportunity to do this,” Ngcobo said.

“De Beers is not suggesting that its partnership idea is a cure for all things – but it is something to think about.”

Ngcobo said De Beers had recently sold some of its operations in South Africa.

“Most of the assets we’ve disposed of have gone to Black Economic Empowerment (BEE) entities and to the communities – and Jaggersfontein is an example.”

Recently De Beers announced that it had closed a transaction in which all of the company’s assets at Jagersfontein had been acquired by the Superkolong Consortium, thereby introducing miners with empowerment credentials to opportunities which had the potential to deliver significant returns.

We live in a world where facts and fiction get blurred
In times of uncertainty you need journalism you can trust. For only R75 per month, you have access to a world of in-depth analyses, investigative journalism, top opinions and a range of features. Journalism strengthens democracy. Invest in the future today.
Subscribe to News24
Lockdown For
DAYS
HRS
MINS
Voting Booth
Would you choose to continue working from home after the coronavirus lockdown if given the option?
Please select an option Oops! Something went wrong, please try again later.
Results
Yes, it's much better for me
40% - 7535 votes
No ways! I can't wait to get back to the office
12% - 2200 votes
A mixture of both would suit me best
48% - 9112 votes
Vote
USD/ZAR
14.41
(-0.7)
GBP/ZAR
19.88
(-0.4)
EUR/ZAR
17.25
(-0.5)
AUD/ZAR
11.13
(+0.3)
JPY/ZAR
0.13
(-0.6)
Gold
1,735.24
(-0.6)
Silver
25.36
(+0.1)
Platinum
1,179.50
(+1.7)
Brent Crude
63.67
(+0.6)
Palladium
2,683.50
(-0.5)
All Share
67,812
(+1.1)
Top 40
62,084
(+1.1)
Financial 15
12,163
(+0.1)
Industrial 25
88,847
(+1.0)
Resource 10
69,024
(+1.8)
All JSE data delayed by at least 15 minutes Iress logo