Rise in demand prompts mining consolidation

In the past fortnight several Aim-listed mining companies in the nickel, diamond, chrome and coal mineral sectors have launched takeovers or been the targets of acquisitions in expectation that demand, especially from Asia, will keep prices high.

On July 21 Firestone launched a reverse takeover of Kopane Diamond Developments, which owns the Liqhobong mine in southern Africa, the third-largest source of undeveloped kimberlite - which can contain diamonds - in the world.