Signing of the Heads of Terms for the new 10-year Sales Agreement. (Credit: De Beers Group)

The Government of the Republic of Botswana and De Beers Group are pleased to announce the signing of the Heads of Terms for the new 10-year Sales Agreement for Debswana’s rough diamond production through to 2033, and the 25-year extension of the Debswana mining licences through to 2054.

The Heads of Terms provide further detail and clarity to the commercial and operational aspects of the agreement in principle between the two partners announced on 30 June 2023, including the Diamonds for Development Fund, the apportionment of Debswana supply, economic arrangements, talent development, beneficiation supply and value chain development among others. This is another significant milestone for Botswana and De Beers as the partners continue to work together to finalise the new agreements.

Hon. Lefoko Maxwell Moagi, Minister of Minerals and Energy for the Government of the Republic of Botswana, said: “We are extremely pleased to have agreed the Heads of Terms with our partners at De Beers. This is an important step forward as we progress towards finalisation of the contracts and implementation of the transformational new agreements. The new chapter we are embarking on will see more skills development and job creation for Batswana, and more diamond beneficiation locally. As we celebrate our nation’s journey on this 57th Independence Day, this important milestone heralds an exciting new era in Botswana’s development.”

Al Cook, CEO, De Beers Group, said: “We in De Beers are proud of our long partnership in Botswana, and we are excited about the role we can play in Botswana’s future. We are very pleased to have signed the Heads of Terms for an agreement that will deliver large new investments, supporting the country’s development aspirations. The agreement also underpins De Beers’ long-term leadership in the diamond industry, securing our equal share in the world’s greatest diamond resources for decades to come.”

Source: Company Press Release