Identifier
Created
Classification
Origin
09GABORONE322
2009-04-21 08:19:00
UNCLASSIFIED
Embassy Gaborone
Cable title:
BOTSWANA: DIAMOND MINES REOPEN, FLOODS IN NORTHWEST
how-toVZCZCXRO0126 RR RUEHBZ RUEHDU RUEHJO RUEHMR RUEHRN DE RUEHOR #0322 1110819 ZNR UUUUU ZZH R 210819Z APR 09 ZDK FM AMEMBASSY GABORONE TO RUEHC/SECSTATE WASHDC 5724 INFO RUCNSAD/SOUTHERN AF DEVELOPMENT COMMUNITY COLLECTIVE RUEAIIA/CIA WASHDC RHEFDIA/DIA WASHDC RHMFISS/HQ USAFRICOM STUTTGART GE
UNCLAS GABORONE 000322
SIPDIS
STATE FOR AF/S, CA/OCS
E.O. 12958: N/A
TAGS: EMIN ECON CASC SENV BC
SUBJECT: BOTSWANA: DIAMOND MINES REOPEN, FLOODS IN NORTHWEST
---------------------
Diamond Mines Re-Open
---------------------
UNCLAS GABORONE 000322
SIPDIS
STATE FOR AF/S, CA/OCS
E.O. 12958: N/A
TAGS: EMIN ECON CASC SENV BC
SUBJECT: BOTSWANA: DIAMOND MINES REOPEN, FLOODS IN NORTHWEST
--------------
Diamond Mines Re-Open
--------------
1. On April 15, Debswana (the mining company that is a joint
venture between DeBeers and the Government of Botswana) re-opened
its three main diamond mines at Jwaneng, Letlhakane and Orapa.
Debswana's mines are normally closed for 4-6 weeks over the
Christmas holidays, however this year the holiday shut down was
greatly extended due to the global recession. When the mines were
originally expected to re-open in late January, Debswana announced
that due to slack demand for diamonds on the world market, its
Botswana mines would remain closed until after Easter. Debswana's
spokesperson, Esther Kanaimba, said diamonds were not selling as
well as had been expected on the international market, especially in
Debswana's largest market the United States. Thus, the mines were
closed for an additional two months to cut the company's operational
costs during a time of diminished demand. She reported that
Debswana's two smaller diamond mines, Damtshaa and Orapa No. 2, are
expected to remain closed for the rest of 2009. Some employees from
the closed mines have been redeployed to the open mines.
2. During the suspension of operations, Debswana carried out
maintenance work on its major assets to prepare for a return to full
production when the markets rebound. Debswana continued selling
small quantities of diamonds during the suspension of operations to
meet the demands of its trading wing, the Diamond Trading Company
(DTC). Debswana says it realized substantial savings from the two
shutdowns, in December/January and February/March/April which
mitigated the company's bottom line.
--------------
Northwest Botswana Hard Hit By Floods
--------------
3. Recent heavy rains in Angola have caused severe flooding in the
north and northwestern parts of Botswana, including the Chobe
District and the Okavango District, home of the world famous delta
and tourism destination. One village in the Chobe district, Satau,
has been completely isolated by the rising flood waters. Fifteen
families in the village were relocated to safer, higher ground.
However, one resident drowned when a canoe he was using to ferry his
family to safety capsized. The Department of National Disaster
Management has assisted residents with relief aid in the form of
tents, food rations and water purifiers.
4. In the Okavango district, 115 households (608 people) have been
displaced in several villages. Food rations, tents, portable
toilets and mosquito nets have been supplied to the displaced
residents. An official of the National Disaster Management said
relief efforts are going on well.
5. Some safari lodges in these districts have been forced to
relocate tourists. Thus far, the Consular Section in Gaborone has
received no calls for ACS services from American tourists in the
affected areas. (Typically, Botswana's safari lodges have
sufficient contingency plans and equipment in place to handle any
needed evacuations, whether medical or weather related.) However,
the Consular Section is also monitoring the flooding in case the
situation changes and any assistance to American tourists or
residents is required.
Nolan
SIPDIS
STATE FOR AF/S, CA/OCS
E.O. 12958: N/A
TAGS: EMIN ECON CASC SENV BC
SUBJECT: BOTSWANA: DIAMOND MINES REOPEN, FLOODS IN NORTHWEST
--------------
Diamond Mines Re-Open
--------------
1. On April 15, Debswana (the mining company that is a joint
venture between DeBeers and the Government of Botswana) re-opened
its three main diamond mines at Jwaneng, Letlhakane and Orapa.
Debswana's mines are normally closed for 4-6 weeks over the
Christmas holidays, however this year the holiday shut down was
greatly extended due to the global recession. When the mines were
originally expected to re-open in late January, Debswana announced
that due to slack demand for diamonds on the world market, its
Botswana mines would remain closed until after Easter. Debswana's
spokesperson, Esther Kanaimba, said diamonds were not selling as
well as had been expected on the international market, especially in
Debswana's largest market the United States. Thus, the mines were
closed for an additional two months to cut the company's operational
costs during a time of diminished demand. She reported that
Debswana's two smaller diamond mines, Damtshaa and Orapa No. 2, are
expected to remain closed for the rest of 2009. Some employees from
the closed mines have been redeployed to the open mines.
2. During the suspension of operations, Debswana carried out
maintenance work on its major assets to prepare for a return to full
production when the markets rebound. Debswana continued selling
small quantities of diamonds during the suspension of operations to
meet the demands of its trading wing, the Diamond Trading Company
(DTC). Debswana says it realized substantial savings from the two
shutdowns, in December/January and February/March/April which
mitigated the company's bottom line.
--------------
Northwest Botswana Hard Hit By Floods
--------------
3. Recent heavy rains in Angola have caused severe flooding in the
north and northwestern parts of Botswana, including the Chobe
District and the Okavango District, home of the world famous delta
and tourism destination. One village in the Chobe district, Satau,
has been completely isolated by the rising flood waters. Fifteen
families in the village were relocated to safer, higher ground.
However, one resident drowned when a canoe he was using to ferry his
family to safety capsized. The Department of National Disaster
Management has assisted residents with relief aid in the form of
tents, food rations and water purifiers.
4. In the Okavango district, 115 households (608 people) have been
displaced in several villages. Food rations, tents, portable
toilets and mosquito nets have been supplied to the displaced
residents. An official of the National Disaster Management said
relief efforts are going on well.
5. Some safari lodges in these districts have been forced to
relocate tourists. Thus far, the Consular Section in Gaborone has
received no calls for ACS services from American tourists in the
affected areas. (Typically, Botswana's safari lodges have
sufficient contingency plans and equipment in place to handle any
needed evacuations, whether medical or weather related.) However,
the Consular Section is also monitoring the flooding in case the
situation changes and any assistance to American tourists or
residents is required.
Nolan