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Zoomlion’s Akwatia diamond to start operation soon

By Fred SARPONG
The Great Consolidated Diamond Limited (GCDL), a subsidiary of Zoomlion Ghana Limited (ZGL), has started preparing the Akwatia diamond site for full-scale operation soon.
Sources at Zoomlion told BusinessWeek that a lot, including putting up new structures, painting and constructing new roads, is being done at the site before operation starts.

The GCDL made an amount of US$80 million offer to acquire the Ghana Consolidated Diamonds (GCD) Limited at Akwatia in the Eastern Region.
The GCDL was shortlisted by the Government of Ghana through the Divestiture Implementation Committee (DIC), alongside two other firms, Jowac Company Limited and Balaji Company Limited, for possible takeover of the mine.

GCDL tabled US$80 million as the investment capital for Akwatia Diamond, while the other two firms proposed between US$50 million and US$70 million.
The Vice President, John Dramani Mahama, officially handed over the GCD to the GCDL at Akwatia last year and promised the people of Akwatia and its surrounding towns that the new company would provide better services to them.

Zoomlion Ghana Limited has set up other subsidiary companies in order to help build the economy of Ghana. One of such companies is J.A. Plant Pool, dealing in transportation services in the country. This company has been the main importer of Yuton buses into the country.
About 30 companies expressed interest in taking over GCD and did apply, but, however, 18 of them put in bids, but only three of the firms met the criteria.
Workers of the GCD at Akwatia in the Eastern Region were declared redundant in August, 2007.

More than 851 workers of the GCD were affected by the redundancy exercise when the mine closed down as a result of under capitalization and the use of obsolete plant and machinery in 2007.

Following agitation by the workers, the government made available US$7.4 million for the settlement of the worker's severance benefit with the balance expected to be paid after the company had been divested.

Payment of the severance package of US$3.7 million, representing 50% of the total amount was paid December 2010 to the workers, while the remaining 50% was supposed to be paid later on. However, GCDL and the Government have settled all debt owed the workers.

During the part payment of the workers severance, some of the staff had severance of GH¢600, while others got GH¢30,000.









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