The management of major diamond mining group, Ekapa Mining, has announced that the company has applied for liquidation.<\/p>\n\n\n\n
The application follows tragedy at the mine, where a mud rush trapped five mineworkers approximately 890 metres underground a week ago.<\/p>\n\n\n\n
The tragedy, coupled with a prolonged downturn in the global diamond market and a 55% decline in the price of rough diamonds since late 2025, had rendered the business no longer viable, it said.<\/p>\n\n\n\n
The mine\u2019s management announced that repairs to the affected shaft were estimated to take 10 to 18 months and would require a significant capital investment, which is not viable.<\/p>\n\n\n\n
The decision has been taken to close and liquidate the mine.<\/p>\n\n\n\n
The National Union of Metalworkers of South Africa (NUMSA) has strongly condemned the company\u2019s actions.<\/p>\n\n\n\n
The liquidation of Ekapa Mines holds significant economic consequences for the region and signals a permanent loss of a key industrial anchor.<\/p>\n\n\n\n
Over 1,000 workers are expected to lose their jobs due to the mine\u2019s closure.<\/p>\n\n\n\n
The mine has been a central pillar of Kimberley\u2019s economy for 158 years. Its closure will impact a vast network of local businesses, creating a devastating \u2018knock-on\u2019 economic effect.<\/p>\n\n\n\n
According to Willie Venter, Deputy General Secretary at Solidarity, this double tragedy constitutes a major blow to the community.<\/p>\n\n\n\n
\u201cApproximately 1,300 workers are now facing immediate unemployment. In addition, it is reported that many workers have not yet received their salaries for February 2026,” he said.<\/p>\n\n\n\n
\u201cThe possible liquidation not only affects employees \u2013 it is becoming a community crisis. In a region such as the Northern Cape, and specifically Kimberley, alternative employment opportunities are limited. The impact on families and the wider community will be enormous.”<\/p>\n\n\n\n
Venter said that Solidarity will ensure that its members are supported throughout the liquidation process, should it proceed.<\/p>\n\n\n\n
\u201cHowever, we hope that an alternative solution can be found to keep the mine operational for the sake of the workers and the community, despite the tragic accident and market pressures.\u201d<\/p>\n\n\n\n
South Africa has been hit with several major liquidations over the past year, with prominent and historic brands like Murray & Roberts and Tongaat-Hulett among those in trouble.<\/p>\n\n\n\n
Murray & Roberts Holdings (MRH) entered liquidation proceedings in 2025, with the subsidiary brand Murray & Roberts Limited (MRL) being sold off in business rescue.<\/p>\n\n\n\n
Tongaat-Hulett, meanwhile, applied for liquidation, but its future is more hopeful with the Department of Trade, Industry and Competition stepping in to save jobs and secure the sugar sector.<\/p>\n\n\n\n
South Africa experienced over 1,500 liquidations in 2025.<\/p>\n","protected":false},"excerpt":{"rendered":"
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