18 \ Business Life \ January 2013
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BUSINESS LIFE:
Bright prospects for Botwana’s diamond miners by Andrew Maramwidze in Botswana British company, Botswana Diamonds (BOD), are exploring for diamond prospects in east Botswana. The company’s board intends to apply for new prospecting licences and start drilling this year. John Teeling, BOD chairman, said the AIM-listed company has plans to continue exploring this year after spending US$1.25 million in 2012 on operations in Botswana. “This is a very exciting time for us in Botswana,” said Teeling citing that the company has good ground, a large database, coupled with a strong and experienced team. The BOD team has an immense amount of knowledge of Botswana’s diamond area and of the Orapa region having previously established the company African Diamonds. “Our exploration in the east of Botswana is going well. We will drill the 100 per cent owned prospecting license 170/2012 in January/February. We have very clear targets including a 15 hectare anomaly,” said Teeling, adding that the company’s share price does not reflect the value in the company. The prospecting licence covers 249 square kilometres of territory, 30 kilometres from Botswana’s world class Letlhakane diamond mine. BOD decided to mine diamonds in Botswana after finding a kimberlite containing diamonds. “The target in 2013 is one or more diamondiferous kimberlites. More mines will be discovered in Botswana. We have data and the best available technology to
outline targets,” said Teeling.“The drilling will tell the truth. We are optimistic.” Meanwhile data analysis from BOD has identified thirteen targets, of which, six are of high priority. The results are borne out of a year-long technical co-operation agreement between Botswana Diamonds and a major diamond multinational. “We have a joint budget of US$1m for 2013 to explore and to drill up to 40 holes and have applied for 12 prospecting resources and expect to hear [from government] early in 2013,” said Teeling. “Where ground is not available the current licence holders will be approached with the eye towards earning or joint venture arrangements,” he added. Teeling strongly believes Botswana is the best place to find diamonds and one of the most attractive mining countries in the world. “Botswana has the geology to find diamonds. It has five producing mines with prospects for two more. No other country outside of Russia matches this. In addition, Teeling applauds Botswana’s stable condition with no political risk, hinged to certainty of title, good infrastructure, excellent mining skills and services. “It has a good exploration licensing regime and tough but fair fiscal and economic terms. It is a good place for explorers.” The diamond industry has transformed Botswana into a middle-income nation and one of the most dynamic economies in Africa with diamond mining fuelling much of its economic expansion and currently accounts for 70-80 per cent of export earnings.
“We have data and the best available technology to outline targets. The drilling will tell the truth. We are optimistic.” - John Teeling, BOD chairman
Image by Jewels Globe