ALROSA Withdrew from Diamond Mining Project in Angola Due to Sanctions

ALROSA's stake in Angolan diamond mining company Catoca was acquired by a structure of Oman's sovereign wealth fund. Last year, Angolan authorities asked RUSSIA to withdraw from the project due to sanctions

ALROSA's share in the Angolan mining company Catoca has been transferred to Taadeen, a structure of Oman's sovereign wealth fund, according to data on the company's website.

Tadeen now owns 41% of the shares previously held by ALROSA, with the remaining 59% held by state-owned Angolan diamond company Endiama Mining SA.

it is not specified when exactly the changes took place. On May 27, Angolan media reported that Tadeen had entered into the share capital of Catoca, “this was preceded by the exit of ALROSA [from the project], which transferred its share to Endiama.”

ALROSA confirmed to RBC the information about the transfer of a stake in the Angolan Catoca project to the Taadeen company.

According to the Katoka website, it accounts for 75% of Angolan diamond production. As of 2019, the company mined and sold around 7-7.5 million carats of diamonds annually.

In January 2024 , the Angolan publication Expansão reported that the country's authorities were asking ALROSA to sell its stake in Catoca due to sanctions against the Russian company. Several months later, Deputy Finance Minister Alexey Moiseyev said that the relevant negotiations were underway, and the deal amount was being discussed with "friendly investors." "The Angolans believe that ALROSA's presence as a key shareholder is preventing them from developing their business . In general, they have fair grounds for this," he noted. Last May, Moiseyev said that the deal should be closed by the end of June.

ALROSA is under sanctions from the US and the EU, and Western countries have also restricted imports of Russian diamonds. Russia considers these measures illegal.

Last October, Endiama President José Ganga Júnior said Angolan diamonds were not subject to Western sanctions , but despite this, the partnership with Russia was “scaring off” some clients.

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