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Botswana Diamonds enters alliance to hasten exploration
16th Feb 2021 12:30
(Sharecast News) - Botswana Diamonds has entered into a cooperation agreement to fund exploration of its prospecting licence assets in Botswana with Diamexstrat Botswana, it announced on Tuesday.
Diamexstrat Botswana in turn has an alliance agreement with Burgundy Diamond Mines.
The AIM-traded firm's prospecting assets comprise the recently-acquired Sekaka Diamonds Exploration database and prospecting licences, as well as the prospecting licences held by its subsidiary Sunland Minerals.
It said Diamexstrat and its partner Burgundy could earn up to a 70% interest in the Botswana Sunland Minerals and Sekaka prospecting licences.
Botswana Diamonds, meanwhile, could earn a 15% interest in prospecting licences held by Diamexstrat and partners on the first $1.5m spent on exploration by Diamexstratm, where Botswana's database assisted in the discovery of a primary kimberlite.
On third party prospecting licences where targets are identified in Botswana Diamonds' database, a joint earn-in would be negotiated at the time.
For new Botswana prospecting licences, Diamexstrat and Burgundy could earn up to 70%, the board explained.
"The combination of a fresh approach and advanced technology, supported by a recovering diamond market, presents us with significant opportunities," said chairman John Teeling.
"This is a comprehensive agreement."
At 1200 GMT, shares in Botswana Diamonds were flat at 0.85p.
Diamexstrat Botswana in turn has an alliance agreement with Burgundy Diamond Mines.
The AIM-traded firm's prospecting assets comprise the recently-acquired Sekaka Diamonds Exploration database and prospecting licences, as well as the prospecting licences held by its subsidiary Sunland Minerals.
It said Diamexstrat and its partner Burgundy could earn up to a 70% interest in the Botswana Sunland Minerals and Sekaka prospecting licences.
Botswana Diamonds, meanwhile, could earn a 15% interest in prospecting licences held by Diamexstrat and partners on the first $1.5m spent on exploration by Diamexstratm, where Botswana's database assisted in the discovery of a primary kimberlite.
On third party prospecting licences where targets are identified in Botswana Diamonds' database, a joint earn-in would be negotiated at the time.
For new Botswana prospecting licences, Diamexstrat and Burgundy could earn up to 70%, the board explained.
"The combination of a fresh approach and advanced technology, supported by a recovering diamond market, presents us with significant opportunities," said chairman John Teeling.
"This is a comprehensive agreement."
At 1200 GMT, shares in Botswana Diamonds were flat at 0.85p.