The Botswana Government and De Beers have reached an agreement in principle on a 10-year Sales Agreement for Debswana’s rough diamond production until 2033, as well as a 25-year extension of the Debswana mining licences until 2054.<\/p>\n
The new agreement marks a significant milestone in their enduring diamond partnership and ensures long-term investment and stability for their joint venture, Debswana, which is a crucial player in the diamond market.<\/p>\n
The agreement focuses on four key areas of value, demonstrating a commitment to Industry Leadership, Debswana’s Future, Economic Diversification, and Job Creation.<\/p>\n
The partnership aims to expand Botswana’s presence and leadership position across the entire diamond value chain. As part of this initiative, the share of Debswana supply sold through the Okavango Diamond Company (ODC) will gradually increase from 30% at the start of the new contract period to 50% by the agreement’s final year.<\/p>\n
The agreement emphasises long-term capital investment to solidify Debswana’s position as one of the world’s top diamond producers and Botswana’s largest private employer for decades to come.<\/p>\n
In a bid to accelerate Botswana’s economic diversification, a multi-billion Pula Diamonds for Development Fund will be established. De Beers will make an upfront investment of BWP 1 billion (approximately $75 million) and contribute further funds over the next decade, potentially totalling up to BWP 10 billion (around $750 million). The fund aims to generate substantial additional value for the Botswana economy.<\/p>\n
The partnership holds the promise of creating tens of thousands of new jobs in Botswana, both within an expanded diamond industry based in the country and emerging sectors. The focus will be on supporting the growth of a knowledge-based economy.<\/p>\n
Al Cook, CEO, De Beers Group, said: \u201cFor De Beers it is a privilege to renew our half-century partnership with the people of Botswana. It is a partnership that is highly regarded around the world for the enduring role it has played in creating economic development and growth. Our transformative agreement reflects the aspirations of the country, secures the future of our Debswana joint venture, and reaffirms De Beers\u2019 leadership position for the long-term. The agreement represents our commitment to deliver investments in Botswana\u2019s diamond production, Botswana\u2019s diamond value chain, Botswana\u2019s knowledge-based economy and, above all, the people of Botswana.\u201d<\/p>\n
While the partners progress and implement the formal Sales and Mining Agreements, the terms of the most recent Sales Agreement (which expired on 30th<\/sup> June) will remain in place.<\/p>\n","protected":false},"excerpt":{"rendered":" The Botswana Government and De Beers have reached an agreement in principle on a 10-year Sales Agreement for Debswana’s rough diamond production until 2033, as well as a 25-year extension of the Debswana mining licences until 2054. The new agreement marks a significant milestone in their enduring diamond partnership and ensures long-term investment and stability…<\/p>\n","protected":false},"author":1,"featured_media":21767,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[83],"tags":[],"thb-sponsors":[],"class_list":["post-21766","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-bulletin"],"acf":[],"yoast_head":"\n