Oman's sovereign fund steps into Angola's Catoca mine as Alrosa exits

A subsidiary of Oman's sovereign wealth fund, Taadeen, has replaced Russia's Alrosa as a shareholder in the Catoca diamond mine in Angola's Lunda Sul province, drawing a line under more than two decades of Russian involvement in one of Africa's largest diamond operations.

The change in ownership followed Western sanctions on Alrosa over Russia's war in Ukraine, which had made it increasingly difficult for the state-controlled miner to hold stakes in projects that sell into G7 and European markets. With Taadeen's entry, Catoca's shareholder register now shows Angola's state diamond company Endiama holding 59% and Taadeen the remaining 41%.

A mine central to Angola's economy

Catoca is an open-pit operation that has been running since 1997 and accounts for more than 75% of Angola's diamond production, making it by far the country's most important single mining asset and a major contributor to state revenue. Any change in its ownership structure carries weight well beyond the mine gate, given how central diamonds are to Angola's export earnings.

For Angola, replacing a sanctioned Russian partner with Gulf capital removes a source of reputational and compliance risk at a time when Western buyers and jewellery houses are under growing pressure to prove their rough diamonds have no connection to Russian supply chains. It also brings in a well-capitalised sovereign investor as Angola pushes to expand output at Catoca and its newer Luele mine.

Part of a wider Gulf push into African diamonds

The Catoca deal is one of several signs that Gulf money is moving into African diamond mining as traditional Western and Russian capital retreats or is squeezed by sanctions. Botswana has separately looked to the United Arab Emirates and Oman as potential partners in its own ambitions to raise its stake in De Beers, while Gulf trading houses have become more visible bidders for African rough.

What happens next

Endiama's continued majority control means Angola's government keeps its grip on strategic decision-making at Catoca, while Taadeen's involvement gives the mine a shareholder with no exposure to sanctions risk. The change comes as Angola pursues an ambitious plan to lift national output and challenge Botswana and Russia for the title of the world's largest diamond producer by value.

Sources

• Wikipedia / industry reporting: Catoca diamond mine — ownership change, 01 May 2025

Photo: Aerial view of the Catoca open-pit diamond mine in Angola's Lunda Sul province. NASA image created by Jesse Allen, using data provided courtesy of NASA/GSFC/METI/ERSDAC/JAROS, and the U.S./Japan ASTER, Wikimedia Commons, Public domain.