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Gold/Mining/Energy : SOUTHERNERA (t.SUF) -- Ignore unavailable to you. Want to Upgrade?

To: gemsearcher who wrote (3955)	7/10/1999 12:10:00 PM
From: Confluence	Respond to of 7235

Hello gemsearcher, Looks like our pals at de Beers are getting on a bit better with the guv'mint. Although it doesn't matter to SUF's cash flow, it would be nice to have this issue dealt with and finished. From the Mail & Guardian: De Beers resumes diamond exports OWN CORRESPONDENT, Johannesburg \| Friday 12.30am. -------------------------------------------------------------------------------- DE BEERS has resumed diamond exports, ending a sales freeze imposed in an ongoing dispute with the South African diamond evalutor, the company said on Friday. The company exported 70% of its South African diamond production in late June, a De Beers spokeswoman said, confirming a report in The Star. De Beers halted exports three months ago after the government diamond evaluator accused it of undervaluing diamonds and held back an export shipment to the company's London-based Central Selling Organisation (CSO). June's exports were of stones signed off by the government evaluator before the dispute arose, while the remaining 30% were still subject to talks between the company and government, De Beers spokesman Tom Tweedy said. "Exports have resumed ... of goods in respect of which there was not dispute," Tweedy said. "That does not resolve the impasse but is encouraging," he added. The government accuses the diamond giant of undervaluing its stock for tax purposes, among other issues. De Beers, which accounts for 95% of South Africa diamond exports, believes it has a better feel of market conditions than the government evaluator and it prices the stones accordingly. "De Beers works on a standard selling value based on market conditions. We market about 65% of the world's diamonds (and) market conditions have not been good," spokeswoman Tracey Peterson said. Future diamonds for export which are disputed by the government will be held back until the impasse is resolved, she said. The bulk of the recent exports went through just before the company's mid-year financial statement, which showed a roughly 43% rise in sales to $2,4-billion dollars for the first half of the year. Another sticking point in the impasse is a government demand that De Beers return a stockpile of diamonds it transferred to London before the 1994 first all-race elections, the Mail & Guardian reported Friday. "We have now unilaterally demanded that the stockpile be returned," a government official said. De Beers said it will not discuss the matter until a solution had been found. The dispute has developed into a deadlock between De Beers and the South African Diamond Board over the methods used by the government evaluator -- appointed by the board in November -- as well as its function in the industry. -- AFP The source:http://www.mg.co.za/mg/za/business.html Have a good weekend all! Confluence