https://www.miningweekly.com

BCL liquidation poser for Botswana diamond exploration JV

JAMES CAMPBELL Botswana Diamonds is currently in discussions with BCL’s liquidator KPMG to resolve the corporate governance issues associated with the Maibwe joint venture

JAMES CAMPBELL Botswana Diamonds is currently in discussions with BCL’s liquidator KPMG to resolve the corporate governance issues associated with the Maibwe joint venture

Photo by Duane Daws

23rd June 2017

By: Ilan Solomons

Creamer Media Staff Writer

     

Font size: - +

Diamond explorer and project developer Botswana Diamonds is weighing its options in resolving the corporate governance issues relating to its Maibwe joint venture (JV) exploration project, in the emerging diamond province of Gope, in Botswana, says MD James Campbell.

The Maibwe JV consists of a block of ten licences, which are located in the Central Kalahari region of the country. The JV partners include Botswana government-owned nickel and copper producer BCL (51% ownership stake), local Botswana group Future Minerals (20% ownership stake) and private South African venture Siseko (29% ownership stake), in which Botswana Diamonds has a 51% ownership stake.

Therefore, Botswana Diamonds has a net 15% interest carry through its exploration work in the project. Four kimberlites containing diamonds were discovered in 2015 by BCL, which is the majority shareholder and operator. However, BCL is currently in provisional liquidation.

Campbell tells Mining Weekly that Botswana Diamonds is currently in discussions with the company’s liquidator, professional services firm KPMG, to resolve the corporate issues associated with the JV.

He says that, while the provisional liquidation of BCL does not effect the viability of the Maibwe JV, it does, however, place the project in “suspended animation”.

Campbell notes that, owing to the “high interest results” that were recorded on the Maibwe JV previously, when BCL was undertaking drilling on the project, the company wants to progress the project.

“We feel that it is in the interests of our shareholders to do so. Botswana Diamonds is joined by the JV’s other minority rights holders who hold the same view,” he states.

Campbell comments that some of the proposals to resolve the BCL ownership issue include, among others, for the company to acquire BCL’s stake in the project or to bring in a new partner to the project, who would then buy BCL’s stake.

However, he says that the company is currently evaluating these considerations and will make an announcement in due course.

Edited by Martin Zhuwakinyu
Creamer Media Senior Deputy Editor

Comments

Showroom

Rittal
Rittal

Rittal is a world leading provider of top-quality integrated systems for enclosures, power distribution, climate control, IT infrastructure and...

VISIT SHOWROOM 
M and J Mining
M and J Mining

M and J Mining are leading suppliers of physical support systems as used by the underground mining industry. Our selection of products are not...

VISIT SHOWROOM 

Latest Multimedia

sponsored by

Hyphen, Eva mine, ferrochrome price make headlines
Hyphen, Eva mine, ferrochrome price make headlines
27th March 2024
Resources Watch
Resources Watch
27th March 2024

Option 1 (equivalent of R125 a month):

Receive a weekly copy of Creamer Media's Engineering News & Mining Weekly magazine
(print copy for those in South Africa and e-magazine for those outside of South Africa)
Receive daily email newsletters
Access to full search results
Access archive of magazine back copies
Access to Projects in Progress
Access to ONE Research Report of your choice in PDF format

Option 2 (equivalent of R375 a month):

All benefits from Option 1
PLUS
Access to Creamer Media's Research Channel Africa for ALL Research Reports, in PDF format, on various industrial and mining sectors including Electricity; Water; Energy Transition; Hydrogen; Roads, Rail and Ports; Coal; Gold; Platinum; Battery Metals; etc.

Already a subscriber?

Forgotten your password?

MAGAZINE & ONLINE

SUBSCRIBE

RESEARCH CHANNEL AFRICA

SUBSCRIBE

CORPORATE PACKAGES

CLICK FOR A QUOTATION







sq:0.228 0.259s - 90pq - 2rq
Subscribe Now