Diamonds
Overview
Independently managed De Beers is the world’s leading diamond exploration, mining and marketing company. De Beers mines and markets 35 to 40% of annual world rough diamond production, primarily in South Africa, Botswana, Namibia and Tanzania.
Share of Group operating profit (2009): 1%
De Beers holds a 50% interest in Debswana Diamond Company and in Namdeb Diamond Corporation, owned jointly with the GRB and the Government of the Republic of Namibia (GRN) respectively, and a 70% shareholding in De Beers Marine Namibia.
In addition, De Beers has a 74% shareholding in South African-based De Beers Consolidated Mines Limited, with the Ponahalo group, a broad-based black economic empowerment consortium, holding the balance.
The Diamond Trading Company
De Beers owns 100% of The Diamond Trading Company (DTC), the sales and rough diamonds distribution arm of De Beers. It also has a 50% interest with the GRB in Diamond Trading Company Botswana and a 50% ownership, along with the GRN’s matching shareholding, in Namibia Diamond Trading Company.
Our diamond business in China
De Beers first supplied diamonds to Chinese customers from its UK and Hong Kong companies during the 1950s. In 1984, De Beers began discussions with Chinese partners to co-operate on diamond exploration in China and, in 1985, it made its first exploration investment in China – exploring for diamonds while partnering with the Shandong Geological and Mineral Bureau.
Shortly thereafter, the exploration was extended into the provinces of Liaoning, Hunan and Guizhou. In 1995, negotiations between De Beers and the Ministry of Geology resulted in joint venture agreements, which were concluded with the provincial authorities of Hebei and Sichuan. Field treatment plants were set up in both provinces and all fieldwork activities were conducted by teams comprising experienced De Beers geologists and Chinese geological staff from the Hebei and Sichuan Bureaus of Geology. Fieldwork activities in Hebei and Sichuan were completed in 2000 and 2001, respectively.
Since 1987, De Beers has actively promoted the diamond and jewellery market through TV advertisements and diamond promotion centres that were set up in Shanghai, Hong Kong and Taiwan for promotion, marketing and sales activities. In November 2008 Forevermark (China) was established in Shanghai and started to market Forevermark diamonds in China.