Skip to content
Subscriber Only

Rio Gifts India Diamond Mine to Madhya Pradesh Government

  • Work at mine was stopped last year to cut costs, company says
  • Project hampered by delay in getting environmental permits
1481249733_diamond
Photographer: Andrey Rudakov/Bloomberg
Updated on

Rio Tinto Group has decided to gift the Bunder diamond deposit in India to the state government of Madhya Pradesh, where the mine is located, after the producer stopped work on it last year.

The Bunder project was closed as Rio sought to cut costs and conserve cash. Under an order signed last month, the Madhya Pradesh government will take ownership of the assets, including all the land, plant, equipment, and diamond samples recovered during exploration, Rio said in a statement on Tuesday.