https://www.miningweekly.com

Lesotho govt processing sale of Mothae diamond stake

19th June 2015

By: Martin Creamer

Creamer Media Editor

  

Font size: - +

The government of Lesotho is processing the sale of 75% of the Mothae diamond development, in Lesotho, by Toronto- and Botswana-listed Lucara Diamonds.

Lucara, which mines at Karowe, in the Orapa diamond field, in central Botswana, is selling its 75% Mothae stake to Paragon Diamonds for $8.5-million, Lucara COO Paul Day told the thirteenth Botswana Resource Sector Conference here.

The Lesotho government holds the remaining 25% shareholding in Mothae, situated on the southern edge of the Kaapvaal Craton, which hosts the diamondiferous northern Lesotho kimberlite field.

Next to Gem Diamonds’ Letŝeng mine, Mothae has an indicated resource of one-million carats and an inferred resource valuation of $1-billion.

However, Lucara is divesting from Mothae and selling its ownership in it.

Lucara achieved an excellent 2014 performance at its Karowe flagship, in Botswana, which last year generated revenues of more than $265-million and a cash operating margin of $529/ct.

Lucara has cash of $87-million on hand, no debt and is a regular payer of dividends.

Its market capitalisation is slightly shy of C$800-million and all its assets are located in Southern Africa.

Karowe is the company’s 100%-owned operating asset on which building started in 2010 and commissioning took place in 2012.

It has two exploration sites in Botswana on which initial exploration will begin this year.

Edited by Martin Zhuwakinyu
Creamer Media Senior Deputy Editor

Comments

Showroom

Booyco Electronics
Booyco Electronics

Booyco Electronics, South African pioneer of Proximity Detection Systems, offers safety solutions for underground and surface mining, quarrying,...

VISIT SHOWROOM 
Booyco Electronics
Booyco Electronics

Booyco Electronics, South African pioneer of Proximity Detection Systems, offers safety solutions for underground and surface mining, quarrying,...

VISIT SHOWROOM 

Latest Multimedia

sponsored by

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:0.275 0.313s - 88pq - 2rq
1:
1: United States
Subscribe Now
2: United States
2: