Botswana Diamonds Plc 2022 Annual Report

Botswana Diamonds plc (BOD.bw) 2022 Annual Report

By Published On: January 17, 2023TYPE: Annual ReportsYear: 2022Period: Country: BotswanaSector: Mining

Botswana Diamonds plc (BOD.bw) listed on the Botswana Stock Exchange under the Mining sector has released it’s 2022 annual report.

For more information about Botswana Diamonds plc (BOD.bw) reports, abridged reports, interim earnings results and earnings presentations visit the Botswana Diamonds plc (BOD.bw) company page on AfricanFinancials.

Botswana Diamonds is a company that believes it can deliver meaningful returns to investors by exploring for minerals, particularly diamonds. Despite the current difficulty in raising exploration finance, the potential rewards for a successful discovery can be substantial. BOD’s team has a lot of experience in diamonds, Africa, mining and exploration. They are focusing on acquiring exploration assets in areas of good diamond potential in Botswana, South Africa, and possibly Zimbabwe. They tend to focus on areas where diamonds have already been discovered but for various reasons, the ground is being let go.

In Botswana, they have increased their stake in the Maibwe joint venture, acquired the KX36 discovery, and attempted to acquire the closed Ghaghoo mine. In South Africa, they have taken the Thorny River project to mining application stage and hope to begin production in Q2/Q3 of 2023. They have also recently been awarded a five-year prospecting license on the Revilo cluster of kimberlites in South Africa and continue to liaise with the authorities in Zimbabwe on entering the diamond sector.

The diamond market has seen a significant recovery from the impact of Covid. Diamond mining companies have had a good post-Covid return to business, with prices and volumes increasing substantially. However, global recession and Chinese turbulence suggest the near-term future could be rocky. The growth in sales of Lab Grown Diamonds must be watched but natural diamonds are internationally scarce, rare and collectibles.

BOD is focusing on the Kaapvaal craton in Botswana, South Africa and Zimbabwe, an area that hosts many of the largest and best diamond mines in the world. Botswana is their main focus as it is the largest producer by value and is a stable country to work in. They work in the Kalahari where the sand cover is a major obstacle, but they are using new technology to “see” through the sand. The principle focus during the period under review was the attempt to acquire the Ghaghoo mine in the Kalahari, but the company was unable to find a partner that could provide the required funds. They continue to keep a watching brief on the mine.

Botswana Diamonds plc 2022 annual report

Company Profile

Botswana Diamonds is a diamond exploration enterprise that has been operating in Botswana since the early 1980s. The United Kingdom-based enterprise is a spin-off of African Diamonds Plc and operates in Botswana, South Africa and Cameroon. The company has a successful track record in diamond discovery; having helped discover the Karowe Mine in Orapa which produces rare high-value stones. Botswana Diamonds also found a kimberlite mine in Botswana which is one of only 20 hard-rock diamond mines found outside Russia. The company operates in a joint venture with OJSC Alrosa (Russia) to explore 17 diamond-producing mines; and in a joint venture with Brightstone holds 13 prospecting licenses in the Orapa region which covers a total of 733 square kilometres. Botswana Diamonds Plc was founded in 2010 as a spin-off company of African Diamonds Plc, with its head office based in Dublin, Ireland.