Diamond licence obtained

RNS Number : 3377D

Botswana Diamonds PLC

22 March 2011

 



Botswana Diamonds plc

("Botswana Diamonds" or "BOD")

Diamond Licence Obtained

v BOD awarded 8,087 square kilometre diamond exploration reconnaissance licence in Cameroon

v Joint venture with local interests (85% BOD, 15% local)

v Ground adjacent to the Mobilong diamond discovery which is currently being developed

v Immediate prospecting programme being implemented to determine the extent of diamond bearing host rock

Botswana Diamonds (AIM: BOD) has obtained an 8,087 square kilometre diamond reconnaissance exploration licence in the eastern area of Cameroon.  The concession is held 85% by BOD and 15% by local Cameroon partners. 

The reconnaissance licence is for an initial period of twelve months, after which we have an automatic right to a one year extension on performance of the agreed work programme (including sampling, geochemical work and geological mapping). Following completion of the agreed work, we can apply for one or moremulti-year exploration licences of up to 1,000 square kilometres each. 

Our reconnaissance licence lies immediately to the south and west of the Mobilong licence area held by C&K Mining, where recent reports suggest that a very significant reserve of diamonds has been discovered and where a one million carat a year mine is reportedly coming on stream by 2012. Current information suggests that the Cameroon discovery could be a close analogy to the Paleo-Placer deposit being mined in the Marange area of Zimbabwe. 

An immediate early stage prospecting programme is being implemented involving detailed satellite imagery and review of existing information to identify the extent and distribution of the diamond bearing host rock. This will be followed by site visits to identify prospecting targets.  This work will focus on selecting the most promising 1,000 square kilometres of ground to be maintained as a three year exploration licence.

John Teeling, the Chairman of Botswana Diamonds commented:

"This is an exciting opportunity and gives us early mover advantage in what is an emerging diamond province. The Mobilong discovery being developed by a Korean company is intriguing the industry. Little information is available and the value per carat is unknown.  Few have seen the diamonds but the deposit appears to be a big ancient alluvial paleo placer.  Our licence area is very big, 8,087 square kilometres. Over the coming year, we will work to reduce this to 1,000 square kilometres by identifying specific areas likely to contain diamonds."

Enquiries:

Botswana Diamonds PLC

John Teeling, Chairman                                                [phone]

Andre Fourie                                                                     [phone]

finnCap - Nominated Adviser & Broker

Matthew Robinson                                                         [phone]

Henrik Persson

College Hill                                                                       

Nick Elwes                                                                          [phone]

www.botswanadiamonds.co.uk

 

END

 

 

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