Link to article: https://www.aljazeera.com/economy/2022/5/9/angolas-endiama-says-sanctions-against-russia-could-hurt-its-diamond-operations
Angola’s state-run diamond miner Endiama could face a hit to its operations as Western sanctions on Russia could delay supplies of parts and machinery, according to a government brochure. This information was made available by the Government at the Mining Indaba conference in Cape Town last Monday. Endiama holds the exclusive concession for diamond mining rights in Angola, has already flagged an almost one-third reduction in diamond output to 10.05 million carats this year, from a forecast 13.8 million carats due to the crippling sanctions put on Russia by Western Nations due to their invasion of Ukraine this past February.
The government stated that “One of the great challenges for 2022 will certainly be to maintain the sustainability of the mines while the war between Russia and Ukraine lasts,” and “since the sanctions that the United States and Western countries have imposed on Russia may affect some national mining companies, delaying the supply of some machinery, parts and spares.”
Last month, an Anglo American company, De Beers, signed two mineral contracts with the Angolan government, possibly capitalizing on this opportunity.
It will be interesting to see how this will affect Angola’s economical situation, as they get around $1.5B USD each year from mining. Taking a large chunk of this money out of the economy could have huge impacts on the country as a whole, as their economy is almost solely based on natural resources, mining included. I find it interesting that this American company is filling the hole left behind by the absence of Russian equipment due to the sanctions. While this is on a private level, it is still interesting that a Western company, whose country put the sanctions on Russia, is stepping in due to the lack of Russian equipment being sent to Angola and its mines.