Botswana Diamonds prepares to re-enter Zim

Botswana Diamonds (BOD) says Zimbabwe is highly prospective and there are positive signs that the country is opening for business.

The company is preparing to re-enter Zimbabwe and focus on both short-term production targets at Marange and advanced kimberlite pipe projects elsewhere in partnership with Vast Resources plc.

“Our final area of interest is Zimbabwe, a country . . . , which we believe is now emerging as a location where overseas companies can invest. Zimbabwe has some interesting diamond geology and has seen little exploration in recent decades,” said Mr John Teeling, chairman of BOD.

They are waiting for approval to be granted Vast Resources permitting it to progress with the various projects in Zimbabwe, in particular the Marange project.

BOD have had long connection to Zimbabwe, Mr Teeling said, adding the Marange field was prolific, but recent years have been very difficult economically for the country.

“Diamond exploration has all but ceased. There have been recent signs of a limited revival. We would like to be part of the revival.”

Mr Teeling said: “To that end we have an agreement with Vast Resources to assist them in relation to a possible licence in the Marange area. We have a 5 percent carried interest up to a certain expenditure.”

The company is looking at a project in an area known to contain kimberlite pipes, Mr Teeling said.

“The current law demands 51 percent local ownership. 

“We have no issues with a joint venture as long as there is sufficient financial incentive for Botswana Diamonds.” — Herald Business/Economic Times.