Botswana Diamonds seeks funding to revive domestic exploration

By David Whitehouse
Posted on Tuesday, 6 September 2022 09:44

REUTERS/Siphiwe Sibeko

Securing funding for Botswana Diamonds projects has the potential to contribute to a revival of domestic exploration as the country’s established mines age, the company’s managing director James Campbell tells The Africa Report.

Initial funding of about $4m is needed to complete the company’s purchase of the Ghaghoo mine, which is located in the central Kalahari basin. A previous agreement to buy the mine from Gem Diamonds fell through in February when partner Vast Resources withdrew its financial backing for the purchase.

Gem Diamonds put the mine on care and maintenance in February 2017 after recovery of just under 150,000 carats of diamonds. Getting $6.5m of funding would allow for an update of the feasibility study and create time to seek $20m in debt to get the mine back into operation, Campbell says. He has been in discussions with one unnamed group who he hopes will “eventually deliver.”