A New Diamond-Mining Boat Will Hoover Up Gems Off Namibia’s Coast – by Thomas Biesheuvel (Bloomberg News – May 16, 2019)

https://www.bloomberg.com/

Anglo American Plc will build a new diamond-mining boat to operate off the coast of Namibia, where it finds some of its most expensive stones, in the latest sign the company is willing to spend on growth.

Anglo’s De Beers unit already has a fleet of boats that hoover up the precious stones on the Atlantic Ocean, through a 50:50 partnership with Namibia. The southern African nation’s diamonds, which have been washed down the Orange River from South Africa over millions of years and deposited in the ocean, are key to De Beers because of their high quality.

The investment is the latest in a series of growth moves by the century-old miner. So far, Anglo has shied away from delivering the sort of blockbuster shareholder returns seen from larger rivals Rio Tinto Group and BHP Group.

Part of the reason was a more distressed balance sheet, but it’s also been more willing to spend on growth. The company last year approved a $5 billion copper mine in Peru, albeit with a Japanese partner to cut the cost and risk.

For the rest of this article: https://www.bloomberg.com/news/articles/2019-05-16/anglo-to-build-a-new-diamond-mining-boat-in-next-growth-move