JOHANNESBURG (miningweekly.com) – Aim-listed Botswana Diamonds announced on Wednesday that it would earn a 51% stake in the Brightstone block in Botswana's Gope region, where two other London-listed firms, Gem Diamonds and Petro Diamonds, were also active.
Botswana Diamonds said it had agreed a joint venture with Siseko Minerals over the 13 licence block, covering 6 518 km2.
The Gope region, where Gem Diamonds is developing the Ghagoo mine and Petra Diamonds made a discovery on block KX36, is seen as “highly prospective”.
Chairperson John Teeling said that Botswana Diamonds was confident it would find previously unknown kimberlites in the area.
The company has already identified a series of targets in the Brightstone block, where detailed work would start in the coming weeks.
"It is a good time to be in diamonds. In particular it is a very good time to be in the Botswana diamond industry. The emerging success of the new Karowe mine, first discovered by the Botswana Diamond founders, is increasing interest in the country. Karowe is producing big, beautiful, valuable diamonds.
"The KX36 discovery in the Gope area and the development of the Ghagoo mine is further focusing attention on the Gope region within Botswana,” Teeling commented.
Under the terms of the agreement, Botswana Diamonds becomes the operator of the block and would earn a controlling stake by spending up to $940 000 over three years. The budget for the first year is $140 000.