AIM listed outfit, Botswana Diamonds Plc, said it has commenced targeted exploration exercise in Cameroon with the view of determining the presence and extent of the diamond bearing rock in the area that it holds.
The company, which is also struggling to get a dual listing on the Botswana Stock Exchange (BSE), said the exploration exercise is concentrated on reconnaissance license.
The process, which is expected to take two to three months, is aimed at identifying the “presence and extent of the diamond bearing host rock” that defines the Mobilong diamond fields.
“From limited information available, it appears that the diamonds are hosted in the palaeo- conglomerate, from which they have since been eroded in places, and now occur sporadically in modern alluvial deposits,” the company said a statement.
“This is an early stage big potential high risk project. The license area is 8,000 square kilometers but almost nothing is known about it due to its rainforest location. Our ground abuts the Mobilong diamond discovery to the south and west. Initial prospecting will be in these areas to see if and where potentially diamondiferous conglomerates lie,” Executive Chairman of Botswana Diamonds, John Teeling, said.
Botswana Diamonds Plc is a company registered under the England and Wales laws listed on London’s Alternative Investment Market (AIM) early this year and hoisted its Botswana assets as its anchor to investors.
Teeling’s company has three concessions in Orapa areaÔÇö where he coined a famous phrase calling it “the best diamond address in the world”.
In 2004, Teeling told investors at the Resource Sector conference that “he was lucky and blessed” because he had a concession in Botswana, which is the best diamond address and the street name is Orapa area”.
At that time he was referring to AK6 concession area, which he later sold to Lucara Diamonds following a compelling offer.
Botswana Diamonds has three assets: AK 8, AK 9 and BK 5, which are all along the Orapa area.
Both AK 8 and AK9 are former De Beers concessions and they were farmed to African Diamonds in 2004 following their joint venture that was called Boteti Diamond Project.
“Since 2004 we have explored the two kimberlites using the most advanced technologies. As for AK 8, we found that the kimberlite was bigger than what was originally thought although the grade was not that higher,” Teeling has said.
“I am very bullish about BK 5 and I think that can provide a stand alone mine, which will mean that we will have to build a plant or rent one. What we are looking at is small and low CAPEX mine at BK 5 with a high potential,” Teeling added.
He said the exploration exercise for the three assets will be ramped up this year and are expected to be the center pieces of the company’s operations across the African region.
Botswana Diamonds Plc has further interest in Cameroon, Central Africa Republic, Democratic Republic of Congo and Zimbabwe.
In Zimbabwe, negotiations are focused on concession areas at Marange, Murowa and possibly in the northern part of the economically and politically challenged country.