Transcript Lesson Six: Digging up the Earth

Lesson Six: Digging
up the Earth
Diamonds and Rare Earths
10 Million people globally are
directly or indirectly supported by
the diamond industry
o Diamonds support millions of people
globally – estimated to be10 million –
from the countries they are sourced, to
where they are polished and sold.
o In Namibia, the diamond mining
industry is the largest single employer
after the government.
o In Botswana around 25% of the
labour force is directly or indirectly
linked to diamonds.
o In India around 1 million people are
employed in diamond industry.
The Diamond Mining industry
generates over 40% of
Namibia’s annual export
earning
o Diamonds support millions of
people globally – estimated to be10
million – from the countries they are
sourced, to where they are polished
and sold.
o In Namibia, the diamond mining
industry is the largest single
employer after the government.
o In Botswana around 25% of the
labour force is directly or indirectly
linked to diamonds.
o In India around 1 million people
are employed in diamond industry.
Diamond revenues enable every
child to receive free education up to
the age of 13
o Many African countries do not have
sufficient public tax money to pay for
education for all children – unlike
developed countries.
o Many African governments have to
charge students and their families for
education. Botswana, is one of the
exceptions, largely due to diamond
revenues.
o Diamonds first discovered in Botswana
in 1966 – there were only three secondary
schools, there are now more than 300.
o Even after the age of 13, secondary
education is 95% funded by the
government, which enables children to
stay in school longer.
1 million people are employed
by the diamond industry in
India.
oThe diamond industry has experienced
substantial growth in India in the last few years,
lifting hundreds of thousands of people out of
rural poverty into employment.
o9 out of 10 diamonds are polished in India.
oIndia one of the key contributors to the growth
of diamond jewellery worldwide. The diamond
industry in India has also been a key contributor
to the annual growth of the country's gross
domestic product (GDP)
About $8.5 billion worth of
diamonds a year come from
Africa
o "The diamond industry is vital to the southern
African economy." Nelson Mandela (1999)
o The majority of today's diamonds are sourced from
Africa, Canada, Russia, Australia and South America,
with an estimated 65% of the world's diamonds being
produced in African countries.
o If measured by value, Botswana is the biggest
producer of diamonds in the world.
o The approximate breakdown of diamond
production by value within Africa is:
o Botswana: $3.3 billion
o Angola: $1.5 billion
o South Africa: $1.5 billion
o Democratic Republic of Congo: $0.7 billion
o Namibia: $0.9 billion
o Other African nations: $0.6 billion
Diamond Production
2012
Diamond Production (Gem) 2012
Country
Congo (Kinshasa)
Thousands of
carats
21,524
Russia
20,700
Botswana
14,400
Zimbabwe
11,000
Canada
10,451
Angola
7,500
South Africa
2,830
Namibia
1,629
Lesotho
479
Sierra Leone
406
Central African Republic
293
Ghana
233
Guinea
213
Tanzania
108
Australia
92
1 carat = 0.2grams
Source: USGS Mineral Yearbook
Exploration
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Kimberlite deposits
Alluvial deposits
Geologists and
geophysicists use lots of
different methods to
carry out ground surveys
to try and find anomalies
in the ground which
might indicate the
presence of diamonds.
Source: Diamondspot.com
Mining
o
o
o
o
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Open pit mining
Underground mining
Coastal mining
Undersea mining
Riverbed mining
Open pit diamond mine – Russia
Source: Wikipedia
Sorting
o After diamonds have been mined, rough
diamonds are sent for sorting where they
are sorted according to size, shape, colour
and quality.
o Can be sorted and valued into 12,000
different categories.
o Smaller industrial stones are also
identified and separated in order to be sent
off to be used as industrial diamonds (in
drills used to cut other materials).
Source: Wikipedia
Cutting and Polishing
o This does not usually take place in
the same location as the mine. The key
processing centres are in Antwerp,
India, Tel Aviv, Mumbai, New York,
Johannesburg, China and Thailand.
o They can but cut into many different
shapes – round, oval, pear, heart,
emerald and many more
Source: Wikipedia
Dealing
o Unlike other natural resources
such as gold diamonds are
not traded as a commodity
but instead sold at diamond
exchanges or direct to
manufacturers.
Source: Wikipedia
Manufacturing
o Manufacturers will create jewellery according to the
requirements of retailer or designer.
Source: http://www.offshorediamonds.co.uk/jewellery-manufacturing-service.asp
Retail
Tiffany and Co Diamond Ring
Source: Flickr user Kent_Chen
Tiffany and Co. – New York.
Source: Flickr user Joseph_Toledo