Diamond Miner Ekapa Files for Liquidation After Tragedy

Rough diamonds image

South African diamond company Ekapa Mining has filed for liquidation a week after five miners were trapped in a mudslide.

The incident took place at the Ekapa mine in Kimberley, the capital of South Africa’s Northern Cape province, on February 17, when a sudden rush of water and mud quickly flooded part of the underground section of the deposit, cutting off access to the lowest mining level, approximately 800 meters below ground, according to an Associated Press report.

The mine’s owners, Ekapa Resources and Ekapa Minerals, stated that despite rescue efforts, including drilling and specialist assessments, the tunnels were found to be filled with mud and water, making survival impossible.

The mining company also announced the immediate closure of the affected mine and have petitioned the courts to place it into liquidation. It said the decision came after an internal review determined that, in light of the prolonged global diamond-market downturn and the recent tragedy, it is no longer able to fulfill its financial obligations.

“Our immediate focus is to offer support to Ekapa’s management, the affected operation, its employees, and their families. Finding the five people who are reported missing in the mud rush is the priority,” said Mzila Mthenjane, CEO of the Minerals Council, an advocacy group in the mining sector.

The African National Congress (ANC) Parliament Study Group on Mineral and Petroleum Resources is examining the mudslide incident and has urged the Ekapa group to lower the underground water levels and immediately complete the search and rescue operation for the five miners still trapped. The tragic event at the mine is a reminder that many mine workers are working under high risks in their daily work, the group stated.

Image: Rough diamonds. (Shutterstock)

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Diamond Miner Ekapa Files for Liquidation After Tragedy

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