page_title: Cecil Rhodes
section_title: Diamonds and the establishment of De Beers
hierarchical_section_title: Cecil Rhodes / Diamonds and the establishment of De Beers
caption_attribution_description: English: Preference Share of the De Beers Consolidated Mines Ltd., issued 1. March 1902 Deutsch: Vorzugsaktie der De Beers Consolidated Mines Ltd. vom 1. März 1902
context_page_description: Cecil John Rhodes PC was a British mining magnate, and politician in southern Africa who served as Prime Minister of the Cape Colony from 1890 to 1896. An ardent believer in British imperialism, Rhodes and his British South Africa Company founded the southern African territory of Rhodesia, which the company named after him in 1895. South Africa's Rhodes University is also named after him. Rhodes set up the provisions of the Rhodes Scholarship, which is funded by his estate. He also put much effort towards his vision of a Cape to Cairo Railway through British territory.
  The son of a vicar, Rhodes was born at Netteswell House, Bishop's Stortford, Hertfordshire. He was a sickly child. He was sent to South Africa by his family when he was 17 years old in the hope that the climate might improve his health. He entered the diamond trade at Kimberley in 1871, when he was 18, and over the next two decades gained near-complete domination of the world diamond market. His De Beers diamond company, formed in 1888, retains its prominence into the 21st century.
  Rhodes entered the Cape Parliament at the age of 27 in 1880, and a decade later became Prime Minister.
context_section_description: During his years at Oxford, Rhodes continued to prosper in Kimberley. Before his departure for Oxford, he and C.D. Rudd had moved from the Kimberley Mine to invest in the more costly claims of what was known as old De Beers (Vooruitzicht). It was named after Johannes Nicolaas de Beer and his brother, Diederik Arnoldus, who occupied the farm.
  After purchasing the land in 1839 from David Danser, a Koranna chief in the area, David Stephanus Fourie, forebearer for Claudine Fourie-Grosvenor, had allowed the de Beers and various other Afrikaner families to cultivate the land. The region extended from the Modder River via the Vet River up to the Vaal River.
  In 1874 and 1875, the diamond fields were in the grip of depression, but Rhodes and Rudd were among those who stayed to consolidate their interests. They believed that diamonds would be numerous in the hard blue ground that had been exposed after the softer, yellow layer near the surface had been worked out. During this time, the technical problem of clearing out the water that was flooding the mines became serious. Rhodes and Rudd obtained the contract for pumping water out of the three main mines. After Rhodes returned from his first term at Oxford, he lived with Robert Dundas Graham, who later became a mining partner with Rudd and Rhodes.
  On 13 March 1888, Rhodes and Rudd launched De Beers Consolidated Mines after the amalgamation of a number of individual claims. With £200,000 of capital, the company, of which Rhodes was secretary, owned the largest interest in the mine (£200,000 in 1880 = £22.5m in 2020 = $28.5m USD). Rhodes was named the chairman of De Beers at the company's founding in 1888. De Beers was established with funding from N.M. Rothschild & Sons in 1887.
caption: Preference Share of the De Beers Consolidated Mines Ltd., issued 1. March 1902
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