The Armenian minerals sector is getting a boost by way of a new diamond processing partnership and a cash injection for the copper industry from the Chinese government.
The Diamond Company of Armenia was formed by the country’s government in an effort to develop a diamond cutting and polishing industry. The agency will import rough diamonds and distribute them to cutting plants, then sell the finished product. The organization, formed by Armenia’s trade ministry with help from De Beers Consolidated Mines, plans to increase the value of cut diamond exports to US$500 million in five years, from US$22 million in 1997.
In light of the deal, Armenia is negotiating a rough diamond import agreement with Russia.
The country’s gold and copper industry is getting a hand from China’s Metallurgical Construction Group (MCC), which intends to extend a US$330-million line of credit for development projects.
MCC is building a copper smelter at the Lichka project and will help develop the Lichkva-Tei and Terterasar projects. The three operations are scheduled to begin production after 2000, turning out a total of 25,000 tons of cathode copper, 1 ton of gold and 3.5 tons of silver per year.
— With files from Interfax News Agency.
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