Botswana Diamonds has entered into an agreement with Vast Resources to jointly develop and explore the Marange Diamond Fields in Zimbabwe. This partnership aims to unlock the diamond value in the fields and establish sustainable mining practices. Botswana Diamonds and Vast Resources bring extensive experience exploring for diamonds in Zimbabwe and surrounding countries. Their initial work has outlined the potential for modern and older diamond deposits within a 15 square kilometer concession block. Subject to positive results from ongoing field work and sampling, the partners intend to progress to a trial mining program by the end of 2019 to further evaluate the resource potential.

1. C
ampbell, an exploration
geologist by trade, has spent
more than 31 years of his
career actively exploring and
developing projects all over
the world. He is currently focused on the
Kaapvaal Craton which covers a large
portion of South Africa, Botswana,
Zimbabwe, Lesotho and Eswatini
(formerly Swaziland). Campbell believes
that the sub-continent is one of the most
prospective areas in the world from a
geological perspective. As such, it is
central to Botswana Diamonds’ explora-
tion strategy.
With an active exploration
presence and kimberlite
TOP PERFORMERS IN 2018
24 MINING REVIEW AFRICA / DECEMBER 2018
Botswana Diamonds
ZIMBABWE JV TO SET SUSTAINABLE
DIAMOND MINING BENCHMARK IN
THE MARANGE DIAMOND FIELDS
discovery track record in Botswana and
South Africa, it was the political risk and
uncertainty in Zimbabwe that inhibited the
company from entering the country.
Despite having identified a number of
promising targets in Zimbabwe, it wasn’t
until the change of regime in November
2017 that Botswana Diamonds felt confi-
dent enough to return to the diamond-rich
country to explore its potential.
Both Botswana Diamonds and Vast
Resources have Zimbabwe diamond data-
bases as well as extensive experience and
knowledge of the country – Vast
Resources acquired a database relating to
diamonds in Zimbabwe in 2008 and had,
until 2010, carried out exploration in the
AIM and BSE-listed diamond
explorer Botswana Diamonds
and its joint venture partner in
Zimbabwe, AIM-listed resource
developer Vast Resources, have
entered into an agreement which
aims to unlock the diamond value
within Zimbabwe’s Marange
Diamond Fields. In doing so, it will
also establish a new benchmark
for sustainable and mutually-
beneficial mining development in
the southern African country, MD
JAMES CAMPBELL tells
CHANTELLE KOTZE.
IN SHORT
Zimbabwe’s
Marange Diamond
Fields, where it
is estimated that
over 60 million
carats have been
recovered to date, is
the latest diamond
exploration frontier
for Botswana
Diamonds.
The Marange
Diamond Fields
of Zimbabwe

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MINING REVIEW AFRICA / DECEMBER 2018 25
t
field using information from the database;
while Botswana Diamonds has indepen-
dently acquired a Zimbabwe diamond
database and, through its significant
networks, has expertise in diamond explo-
ration, development and mining.
In May this year, Botswana Diamonds
signed a memorandum of understanding
with Vast Resources under which the two
companies have agreed to exchange infor-
mation derived from past exploration on
areas prospective for diamonds in
Zimbabwe; and to form a special purpose
vehicle (SPV), to be jointly owned by each
company (Botswana Diamonds - 13.33%
and Vast Resources - 86.67%), for the
purpose of developing and exploiting
diamond resources in Zimbabwe.
In addition to this, the two parties have
also agreed to collectively identify and
develop diamond properties outside of the
Marange Diamond Fields, in the rest of
Zimbabwe, through a straightforward
50:50 joint venture agreement. The part-
ners are yet to sign a detailed agreement
on this.
The joint venture partners had been
granted exclusive access to the 15 km2
Heritage Concession, or Block T1A, within
the Marange Diamond Fields of the
Chiadzwa region of eastern Zimbabwe –
close to Vast Resources’ historic Marange
Diamond Field claims.
Through an agreement with the local
community trust – Marange-Zimunya
Community Share Ownership Trust, who
will have no less than a 25% stake in the
Heritage Concession – the partners had
been allowed to carry out initial due dili-
gence on the area with a view to conclud-
ing a joint venture agreement for explora-
tion, mining and marketing. Vast
Resources has contributed US$1 million
as initial funding towards this as a share-
holder loan in the SPV, with either party to
contribute on a pro-rata basis as and
when additional funds are required.
By October, the parties had concluded a
preliminary geological assessment of the
Heritage Concession, which outlined the
potential for modern alluvial diamond
placer deposits and the possibility for
older conglomerates in the concession.
The partners are currently investigating
the potential of the modern alluvial
diamond deposits and of the older
conglomerates on the property, having
visited the site in late October.
Assuming positive results, the field
work will be closely followed by field
DIDYOU
KNOW?
Botswana Diamonds is
the first publicly-listed
diamond company to
re-enter the Marange
Diamond Fields since
the suspension of
diamond mining
rights in 2006
< The Vast Resources
and Botswana
Diamonds team
exploring the Heritage
Concession of the
Marange Diamonds
Fields along with the
local chief
>
James Campbell
on site at the Heritage
Concession in
Zimbabwe in
October 2018
FAST FACT
The last significant
diamond exploration
in Zimbabwe was
undertaken by
De Beers some 20
or more years ago

3. The SA mining industry has been in need of good news. We are happy
to give the good news with the opening of Khanye Colliery. We would like
to thank all our attendees who have contributed to making this good news
for mining. With special thanks to the following leaders and institutions:
Gwede Mantashe, Minister of Mineral Resources
Obed Bapela, Deputy Minister of Cooperative Governance and Traditional Affairs
Phindile Baleni, Director-General of Gauteng Province
Ikosi MP Mahlangu, King of AmaNdebele Ndzundza
Helene Budliger-Artieda, Ambassador of Switzerland
The City of Tshwane
Department of Water and Sanitation
Transnet
Eskom
National Union of Mineworkers
The Association of Mineworkers and Construction Union
ThankYou
www.canyoncoal.com
*Delegates push the button for the blasting moment officially opening the mine
C
M
Y
CM
MY
CY
CMY
K
CNY_Thank You_Artwork12ii.pdf 1 2018/11/16 16:11

4. TOP PERFORMERS IN 2018
MINING REVIEW AFRICA / DECEMBER 2018 27
““We have
every
confidence
that the new
government
in Zimbabwe
will clean up
the Marange
Diamond
Fields, and
open it up for
business in
future,
JAMES CAMPBELL
“
mapping, drilling and pitting, which will fairly
quickly lead into a bulk sampling programme
expected to begin toward the end of 2019. The bulk
sampling programme will form part of a pre-feasi-
bility study and hopefully advance to a trial mining
programme, says Campbell, adding that we are
likely to simultaneously release a competent
persons report on the asset.
“While we currently have a fair idea of the
diamond value and grade, we have little idea about
the extent, width or depth of the resource," says
Campbell. "The drilling will provide clarity on this
before we embark on bulk sampling."
“We have every confidence that the new govern-
ment in Zimbabwe will clean up the Marange
stake in the project. A prospectus to encourage
outside investor interest and to enable BCL to sell
its stake in the joint venture will soon be filed.
Further afield in South Africa, within the historic
Free State kimberlite exploration project, Botswana
Diamonds has undertaken whole rock geochemis-
try, ground geophysics and mineral chemistry – all
of which point to diamondiferous kimberlites similar
to the iconic Kimberley, Koffiefontein and
Jagersfontein diamond mines. These results have
justified the commencement of a phased drilling
programme, expected to begin in 2019.
Also in 2018, Botswana Diamonds and its joint
venture partner Vutomi, have acquired prospecting
rights to half of the Palmietgat cluster, north of
Pretoria – comprising portions 1, 3, 5 and 7 of the
farm Palmietgat, in the Limpopo Province.
A milestone 2019 on the cards
Botswana Diamonds and Vutomi are advancing
towards first diamond production at the Thorny
River project in South Africa by the end of 2019 – a
milestone achievement for the project developer.
Following the release of a technical and
economic evaluation report on Thorny River in June
2018, the joint venture partners have been consid-
ering a number of options to advance the property,
concluding with the company signing the contract
with Palaeo Minerals, covering both bulk sampling
activities and potentially future full-scale mining
services at the project.
The key terms of the contract are as follows:
• A net revenue royalty of 12% will accrue to Vutomi;
• 8% will accrue to Vutomi to cover state mineral
royalties, sales and security expenses;
• 80% will accrue to Palaeo to cover its mining and
processing costs;
• A processing target of up to 30 000 t of kimberlite
per month; and
• Diamonds will be recovered using a processing
facility at a nearby diamond mine.
Importantly, the bulk sampling along with the
supporting geological work will contribute towards
declaring a maiden resource for this project at little
or no cost to shareholders.
Diamond Fields, and open it up for business in
future. We are both thankful that Vast Resources
has been granted the Heritage Concession and
excited to be partnering with this company as the
first public diamond mining companies in the
Marange Diamond Fields of Zimbabwe. We plan on
demonstrating what can be done to efficiently and
rapidly add value to all the important stakeholders,”
says Campbell.
An active 2018 across the portfolio
Botswana is also active throughout South Africa
with several diamond exploration joint ventures in
Botswana and South Africa.
In Botswana, Botswana Diamonds has acquired
the full 100% stake in Sunland Minerals, by buying
Russian diamond miner Alrosa’s 50% share in the
joint venture. A potential new investor, itself a large
diamond producer with new ideas and keen to find
new kimberlites in Botswana, is already close to
acquiring a 50% of the Sunland Minerals joint
venture.
The un-named new partner, which has a
strong exploration team in place, will step into the
exploration shoes of Alrosa and, once the deal is
finalised, work is expected to begin in the first half
of 2019 focusing on targets which have already
been identified.
Meanwhile, the Maibwe joint venture, in which
Botswana Diamonds owns a 15% stake, has
remained static in 2018 following BCL’s rejection of
Botswana Diamonds’ offer to purchase its 51%
DIDYOU
KNOW?
Between 80 million and
100 million carats of
diamonds have been
mined from the Marange
Diamond Fields, chiefly
from the Angun,
Marange and
Mbada blocks
There is a high
degree of artisanal
mining across the
Heritage Concession
< Drilling on
the Thorny
River project