Congo Stops Mining Company's Operations


May 15, 2001

Congo Stops Mining Company's Operations

The Democratic Republic of Congo has stopped the operations of IDI, the Israeli diamond mining company that became the sole purchaser of DRC's diamonds in Aug. 2000, BBC News reports. DRC officials announced the end to IDI's purchasing and exporting of diamonds on state television last week. IDI's trading license was suspended in April after accusations that it was pushing down the price of diamonds.

In other mining news, Australian mining group Rio Tinto Ltd. wants to sell its 66% stake in diamond miner Ashton Mining of Canada, but is unsure if it will be able to find a suitable buyer, Reuters reports. Rio Tinto acquired Ashton Mining Ltd. earlier this year. Ashton Canada's board of directors established a special committee to ensure maximum value is derived for all of the corporations' shareholders from any sale or divestment transaction that may take place, Reuters reports.

- by Julia M. Duncan