Articles and News
INDUSTRY NEWS: PRIVATE EQUITY FIRM WANTS RIO, BHP; NEW EDUCATION AT NCDIA, GEMS FOR KIDS, MORE April 19, 2012 (0 comments)
Private Equity Firm Steps Up for Rio, BHP Diamond Assets
New York, NY—American private equity firm KKR has put in a bid to acquire the for-sale diamond assets of both Rio Tinto Plc and BHP Billiton Ltd.. According to reports on Bloomberg.com and the London Sunday Times, the firm, which manages a $62 billion portfolio across a range of industries, is one of three still in the running, along with Harry Winston Diamond Corp. and Stornaway Diamond Corp.
Two other would-be suitors, Apollo Global Management LLC and Gem Diamonds Ltd., have dropped out. Harry Winston, meanwhile, already owns 40% of the Rio Tinto’s Diavik mine in Canada; Rio Tinto owns the other 60%.
If KKR’s bid is successful, it would become the third-largest diamond producer in the world after De Beers/Anglo American and Russian-based Alrosa. But don’t look for new beacon ads to fill the marketing vacuum left by De Beers. According to David Hargreaves, author of Hargreaves: The Week in Mining, Rio and BHP both came “unstuck” by going downstream. Still, Hargreaves says, KKR’s rationale makes some sense: burgeoning demand in China and India, coupled with the lack of new diamond finds, should make alluvials more popular and the diverse production from both Rio’s Argyle mine and BHP should more than cover the market needs.
NCDIA Names Gelb as Educational Director
New York, NY—To increase education about natural color diamonds in the industry, the Natural Color Diamond Association (NCDIA) has appointed Tom Gelb as educational director. Gelb, a certified gemologist and a former manager at GIA (Gemological Institute of America), has more than 18 years’ experience grading and evaluating natural color diamonds, including working with top jewelry brands such as Harry Winston.
“Gelb is one of the top gemologists for color diamonds and we are pleased to have him working with us to enhance our educational programs to consumers and our growing membership base,” says Jordan Fine, secretary of the Natural Color Diamond Association.
Gelb’s new multi-faceted program will provide important educational benefits to NCDIA members and natural color diamond community at large. He will host quarterly educational seminars and is slated to be a speaker at the upcoming JCK Show in Las Vegas.
NCDIA has developed dynamic new collateral to send to members including a “Color Diamond Sales Pack” with impactful selling points and techniques for natural color diamonds, and one of Gelb’s first initiatives is starting a quarterly newsletter for members, the first of which will cover yellow diamonds.
Diamonds Are A Kid's Best Friend
Johannesburg, South Africa—Despite growing up in the countries that produce more gem-quality diamonds than anywhere else in the world, youngsters in South Africa and Botswana often don’t get a chance to touch a diamond in person. But 35 students from Johannesburg, South Africa, and Gaborone, Botswana recently learned the basics of gemology, mineralogy and geology through two GIA Junior Gemologist Program workshops, sponsored by GIA (Gemological Institute of America). The workshops were held April 11 and 12 in Johannesburg and Gaborone, respectively.
The students, from the ages of 10 to 15, received hands-on, practical training with loupes and other specialized gemological equipment as they learned to identify and assess gems such as quartz, fluorite, corundum and calcite. This was the first time that GIA offered the program in either country.
“I now want to be a gemologist. I wanted to be a graphic designer before because I’m good at design. This is my first time learning about diamonds,” wrote Maphanga Njabulo, an 11-year-old from PS Tsosane Primary School in Johannesburg. Students from Tshwaragano Primary School, Ikageng Primary School, Legae Academy and Mogoditshane Community Junior Secondary School, all in Gaborone, also participated in the program.
“Education is a powerful force that will drive opportunities for these students and ultimately for their communities,” said Donna Baker, GIA’s president and CEO. “We are pleased to contribute to this effort and introduce young people to gemology. Education is at the core of our mission.”
Local and national officials attended both workshops with Baker and Paul Kreutz, a member of GIA’s Board of Governors. Banyana Moloisame, chief diamond inspector of South African Diamond and Precious Metals Regulator, attended the program in Johannesburg. The event in Gaborone included Pauline Paledi, executive director of Botswana Diamond Manufacturers Association; Jacob A.R. Thamage, coordinator of Diamond Hub Ministry of Minerals, Energy and Water Resources; Levis Thupa, accreditation specialist from Botswana Training Authority; and Susan Matlolela, principal minerals officer of Diamond Hub Ministry of Minerals.
GIA developed its Junior Gemologist Program to teach gemology, geology and mineralogy to students and youth groups. More than 24,000 students have participated in the program.
Tumelo Moeketsi, 12, inspects a gem during the practical part of the Junior Gemologist Programme hosted by the Gemological Institute of America at Wits University in Johannesburg on April 11. Picture: Herman Verwey
MJSA Seeks Students For Scholarships
Attleboro Falls, MA—MJSA is accepting applications for scholarships funded by the MJSA Education Foundation Scholarship Group. Scholarships are available from five permanent endowment funds managed by the Rhode Island Foundation on behalf of MJSA and the MJSA Education Foundation.
Money generated by these funds supports students enrolled in jewelry design, jewelry making, or other jewelry-related programs or courses at colleges, universities, and technical schools throughout the United States. Applicants can be enrolled in any kind of jewelry training program, as long as they intend to pursue a career in the jewelry industry, and can demonstrate financial need.
Several awards ranging from $500 to $2,000 are given every year. Last year, the Scholarship Group awarded nearly $7,000 to six recipients studying at various institutions. Since 1997, the MJSA Education Foundation has awarded more than $160,000 in scholarships to students.
The student is assessed on the basis of course of study, academics, career plans, recommendations, and industry experience. All applicants must be U.S. citizens. Click here for 2012 scholarship information or e-mail info@mjsa.org or call (800) 444-MJSA (6572)