Botswana Diamonds (LON:BOD) has renewed two “strategic” licences to the end of 2021 and is considering a joint venture to develop those projects, in the country’s Kalahari Desert.
The licences, which cover just over 500 km2, are located west of the Ghaghoo diamond mine, which Gem Diamonds (LON:GEMD) sold in June to local company Pro Civil for $5.4 million.
The company has already
identified prospective drill-ready targets through intensive work including
aeromagnetic surveys, ground magnetic exploration, soil sampling and target
selection.
Botswana Diamonds became the sole owner of the PL232 and PL235 licences in November last year, after buying Russian diamond miner Alrosa’s 50% stake in their Sunland Minerals joint venture (JV).
Botswana, which was overtaken by
Russia as the world’s top diamond producing country in 2014, is grappling with
aging mines, as well as power and water shortages.
Still, the nation is home to some
of the world’s most prolific diamond mines, including Lucara Diamond’s
(TSX:LUC) Karowe operation, where the now-famous Lesedi la Rona, the second-largest gem-quality
diamond to ever be found, was unearthed in 2016.
Besides diamonds, the country also
produces nickel, copper, coal and iron ore.