Dutch private equity investor Kenzoll Capital is partnering with Namibian-registered MSF Commercials to restart the Elizabeth Bay diamond mine with $50 million in planned investment as the country’s diamond industry struggles with falling exports.
The Sperrgebiet operation, formerly known as Elizabeth Bay, holds 10.5 million carats of onshore and offshore diamond resources, Kenzoll Capital said Wednesday. Part of the planned investment will also fund exploration for other minerals.
“We’re committed to getting the mine producing again, providing jobs and economic value to an area that has relied heavily on diamonds for over a century,” Kenzoll Capital CEO Corné Melissen said. “This partnership is part of our long-term commitment and investment in Namibia, with diamonds as the starting point and critical minerals to follow.”
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The restart comes as Namibia contends with a steep downturn in one of its key mining industries. Diamond exports fell 67% from NAD 5.1 billion ($306.9 million) in 2022 to NAD 1.7 billion ($102.3 million) in 2025, with the Bank of Namibia identifying the industry slump as a major threat to economic growth.
New investment
Kenzoll Capital has already invested more than $10 million in Namibia as it seeks to support local employment and the broader economy. Its partnership with MSF Commercials marks a return of foreign capital to a mine that previous owner De Beers determined it could no longer operate economically.
De Beers began the sale process for Elizabeth Bay in 2018, and the final transaction took place the following year. The purchasing consortium included Lewcor Group as majority owner and MSF Commercials as a minority shareholder.