Pangea DiamondFields is selling its subsidiary known as Dimbi Diamonds, to a senior employee at the company, reports say. Terms of the deal will entitle Pangea to 5 percent payment of royalty, calculated on the future gross sales from the Dimbi project; and also $500,000 generated from either proceeds of the first sales or proceeds of asset sales if the buyer decides not to operate the project.

Pangea asserts the value of the subsidiary to be strong, yet it firmed plans on selling it, considering the logistical support for its maintenance, cost factors, long intervals in procuring equipment and spares to be unviable for its scale of operations, reports say. The Dimbi project is located in Central African Republic (CAR),

Pangea believes that selling the Dimbi project to a local senior employee who already has experience of the project and of operating in the CAR, would allow it to retain exposure to the project incase of a mining operation being established in the future.

At present, Pangea announced closing its Etoile project also and making an exit from the CAR.