Lesotho: Kao Mine Needs M250 Million Bailout

. . . as stalemate with RSL puts 1 800 jobs on the line

The Storm Mountain Diamonds (SMD), one of Lesotho’s four major diamond producers, urgently needs at least M250 million to stay afloat, the Lesotho Times has learnt.

SMD (Pty) Ltd operates the Kao Diamond Mine in the Butha-Buthe district, which is jointly owned by Namakwa Diamonds Limited (75%) and the government of Lesotho (25%).

According to SMD’s management, the company is in dire financial straits and needs a huge capital injection to…