Botswana and mining company De Beers have announced a new diamond sales deal. The new deal, concluded on Friday, gives Botswana a bigger share of rough stones from their joint venture.
Debswana, a joint venture between Anglo American unit De Beers and Botswana’s government, sells 75% of its output to De Beers, with the balance taken up by state-owned Okavango Diamond Co. The new agreement covers a 10-year sales deal for Debswana rough diamond production through to 2033 and 25-year Debswana mining licences.
In the run-up to Friday’s deal, Botswana President Mokgweetsi Masisi, who is expected to seek re-election next year, had pushed De Beers for a bigger share of Debswana’s output.
In March, Botswana announced it would take a 24% stake in Belgian gem processing firm HB Antwerp in a move seen as designed to loosen De Beers’ grip on the country’s gems. Botswana supplies 70% of De Beers’ rough diamonds.