Business Correspondent
Zimbabwe’s government has approved a settlement agreement to resolve the long-standing dispute over 129,400 carats of diamonds belonging to Vast Resources, a London Stock Exchange-listed mining company.
The diamonds have been held at the Reserve Bank of Zimbabwe (RBZ) for over a decade, following claims that Vast exploited them on claims previously owned by De Beers, which left the diamond fields in 2006.
After a legal deadlock, the Supreme Court ruled in favor of Vast, and the Attorney-General’s Office in Zimbabwe has now approved the terms of the settlement agreement.
Vast has agreed to withdraw legal challenges and sign a new mining agreement with the Ministry of Mines and Mining Development.
Key Points of the Settlement Agreement:
- Withdrawal of Legal Challenges: Vast will withdraw its appeal in exchange for the return of the diamonds.
- New Mining Agreement: Vast will sign a new mining agreement with the Ministry of Mines and Mining Development.
- Return of Diamonds: The RBZ will return the 129,400 carats of diamonds to Vast.
Vast Resources’ CEO, Andrew Prelea, has expressed appreciation for President Emmerson Mnangagwa’s administration’s commitment to resolving legacy issues.
The company plans to sell the diamonds through a tender process and refocus its attention on other opportunities in Zimbabwe.
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