Congo Miner MIBA to Auction Diamonds

The Democratic Republic of Congo's state diamond miner, Société Miniere de Bakwanga (MIBA), is to sell around 300,000 carats of diamonds at an auction later this week, company officials have announced.

The sale will be MIBA's first since it ended an agreement that had previously allowed Emaxon Finance International, a subsidiary of Israeli DGI Group, the right to purchase 88 percent of its production.

MIBA signed the 2003 purchasing agreement with Emaxon in return for US$15m-worth of financing aimed at rebuilding wrecked infrastructure following a war which ended in 2003.

MIBA Chief Administrative Officer Paul Kabongo told Reuters the company is deciding on a sales strategy for its future production, the first of which will be the diamond auction on 28 April.

Regional experts estimate that the Democratic Republic of Congo is Africa's second largest diamond producer after Botswana.

By staff writer