The Lulo Mining Society, which operates in the municipality of Capenda-Camulemba, Lunda-Norte province, wants to make new investments to intensify prospecting work in order to confirm the geological and mining potential of the known concession to extract rare and high-value diamonds.
In statements recently given to the Public Television of Angola (TPA), on the sidelines of the delivery of means of transportation to the traditional authorities of the Xinge commune in Capenda-Camulemba, as part of the diamond mining company’s social responsibility actions, the Vice President of the company’s Management Board, Alfredo Domingos Machado, explained that in terms of alluvial mining, prospecting activities continue to expand the exploration area.
Currently, according to the manager, the actions are focused on the southern zone of the mine, with gravel volume sampling in order to have uninterrupted 24/7 operation of the second processing plant.
Alfredo Domingos Machado stated that the Lulo mine faces a problem related to its geological difference compared to other projects in terms of the volume of existing gravel.
Despite the concession having the possibility of extracting rare diamonds in quantity and quality that exceed industry expectations, the volume of gravel is “extremely low,” he said.
“Fortunately, nature has given us this possibility or luck to have extremely rare stones of large sizes and quality, but the volume of existing gravel is extremely low,” he said.
Production levels
Even with the reduced volume of gravel, the mine has been making efforts to achieve the envisaged targets, aiming for production levels with acceptable profits that will allow dividend distribution to shareholders, including tax contributions to the state treasury, emphasized Alfredo Domingos Machado, the Vice President of the Lulo Mining Company’s Management Board.
He explained that the company’s first processing plant has an installed capacity to treat 45,000 cubic meters of ore per month, but for the sake of efficiency, they work with an estimate of 40,000 cubic meters.
He mentioned that the second plant, designed for 35,000 cubic meters, currently operates with only thirty. He added that despite having the necessary equipment, with the low volumes and grades, it is difficult to achieve the set objectives for ore treatment. The operator’s target, he said, is to treat 70,000 cubic meters of gravel monthly from the two processing plants to achieve diamond production levels ranging from 5,000 to 6,000 carats.
Currently, according to the Vice President of the Management Board, in terms of exploration activities, the mine produces three thousand carats of diamonds monthly, with grades averaging around 0.045 carats per cubic meter, which is considered extremely low.
Alfredo Domingos Machado further stated that the Geology department, specifically the prospecting area, is currently working on creating conditions to advance further towards the Lulo River, where the indicators are positive. Additionally, there are plans to explore another area known as Kassongue, which also presents good potential.
The intention now, he said, is to take greater advantage of the Cacimbo season in order to intensify field activities in the two designated areas, as it has been nearly impossible to operate the machines during the rainy season.
The use of equipment during the rainy season typically decreases considerably, ranging from 40 to 45 percent, which hampers production, explained the Vice President of the Lulo Mining Company’s Management Board.
Social responsibility
The Brilliant Foundation, the social face of the diamond subsector, witnessed the delivery of two Mitsubishi L200 vehicles and forty motorcycles to the traditional authorities of the Xinge commune in Capenda-Camulemba, Lunda-Norte province, on May 16 of the current year. This was part of the social responsibility initiatives of the Lulo Mining Company.
In the first phase, the initiative benefited two out of the four regedores (local chiefs) of the Xinge area, who were given the vehicles, while the motorcycles were mainly handed over to the sobas (local leaders) of the region. Alfredo Domingos Machado, the Vice President of the Lulo Mining Company’s Management Board, assured that they plan to acquire two more vehicles to be offered to the remaining regedores of the Xinge area.
He emphasized that the delivery of these means of transportation to the traditional authorities of the Xinge commune is part of the list of various social actions carried out by the company.
The leaders of the traditional power requested support in terms of transportation, and after a thorough evaluation by the Management Board, including consultation at the General Assembly with the corporate structure, the acquisition of the vehicles for community support was authorized.
Extraction reaches 100 carats
According to information obtained by the Jornal de Angola, in the first quarter of 2021, the mine extracted over seven diamonds weighing more than 100 carats. The net results from production during that period amounted to over 13 million dollars, with a total turnover of 34 million dollars. Lately, diamond extractions ranging from 40 to 80 carats have become more frequent.
The Lulo Mining Company currently employs around 400 workers, both nationals and foreigners, who operate in different areas.
The challenges are also focused on reinforcing their social responsibility towards the communities residing in the diamond mining areas in the municipality of Capenda-Camulemba.
Heavy diamond mine
The history of diamond prospecting and mining activities in Angola, particularly in Lunda, dates back to 1912 and 1917 when the first seven stones were discovered in the Tchium-bwe River, northeast of the municipality of Cambulo in the Lunda-Norte province. The region is known for its rich deposits of commercially valuable diamonds.
With a concession of 3,000 square kilometers, the current mining contract covers 1,500 square kilometers of the Lulo mine in Capenda-Camulemba. The mine, with an investment of over 24 million US dollars, is a partnership between ENDIAMA, Lucapa Diamond, and Rosas & Pétalas. It has stood out in the discovery and production of diamonds weighing over 100 carats.
In August of last year, ENDIAMA and its partners jointly announced the discovery of a 170-carat pink diamond extracted from the Lulo mine.
Data released by ENDIAMA and its partners indicate that the pink diamond, extracted in August of the previous year, is the fifth-largest and the 27th diamond weighing over 100 carats discovered in the Lulo concession.
Since the start of operations at the Lulo mine in Capenda-Camulemba, the largest diamond achieved so far is the 404-carat white diamond discovered in 2016, which remains the largest in the century-long history of industrial diamond mining in Angola. This “precious stone” was named “4 de Fevereiro” in honor of the historic date that marked the beginning of the Angolan National Liberation Armed Struggle against colonial power.
Lulo aims to double its production to ensure profits for the company and be part of the ongoing strategies through which the diamond subsector intends to achieve the goals set by the National Development Plan.
