ANGOLA
Angola's tormented path to petro-diamond led growth

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Diamonds




Brilliant beauty
From deep in the earth.


Diamond mining began in 1912, when the first gems were discovered in a stream in the Lunda region in the northeast and until today plays an important role in Angola's economic development.



The additional discovery of Brazilian diamonds in the 18th century did little to expand the market beyond the very wealthy. African diamonds changed all that. South Africa excavated three tons of diamonds from a single mine in the mid-1800s. For years that country was the number one world producer of diamonds. Subsequent finds in other African counties, including Angola, have exceeded South African output.
The diamond fields of Angola are part of the same deposits found in the Republic of Congo. The deposits lie in the river basins of the Luembe, Luachimo, Chicapa, Cuango, and Chiumbe which flow north into the Kasai river. These are located in the far northwest corner of Angola, in the Lunda area. Mining began in 1912. In the early 1970s, Angola was among the leading producers of gem diamonds. More than 60 percent of its product was gem quality.


Uncut Diamonds

The diamond mines became a prime target of UNITA attacks in the mid 1980s. Production was cut to a fraction of its former output and, at one point, halted. UNITA forces raided mining camps, kidnapped workers, and damaged mining equipment. Increased security forces were sent to the area to allow production to resume. The industry has still not recovered to pre-independence levels.

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© World INvestment NEws, 2002.
This is the electronic edition of the special country report on Angola published in Forbes Global Magazine. February 18th, 2002 Issue.
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