RNS-only some of it copied and pasted and I have to go to nursing job20 Jul 2020 08:36
Acquisition of KX36 Diamond Discovery in Botswana
BOTSWANA DIAMONDS PLC
Released 07:00:05 20 July 2020
RNS Number : 4119T
Botswana Diamonds PLC
20 July 2020
20th July 2020
Botswana Diamonds PLC
("Botswana Diamonds" or the "Company")
Acquisition of KX36 Diamond Discovery in Botswana
Highlights
Botswana Diamonds acquires:
· The KX36 diamond discovery in Botswana.
· Two adjacent prospecting licences.
· A fit for purpose bulk sampling plant.
· An extensive diamond exploration database.
Botswana Diamonds ('BOD'), the AIM and BSE listed diamond explorer, has agreed to acquire the KX36 Diamond discovery in Botswana, along with two adjacent Prospecting Licences and a diamond processing plant. These interests are part of a package held by Sekaka Diamonds. BOD is acquiring 100% of the shares of Sekaka. The vendor is Petra Diamonds. The consideration comprises a cash payment of US$300,000 and a 5% royalty on future revenues. The cash consideration is payable on a deferred basis with US$150,000 payable on 31 August 2021 and the balance on or before 31 August 2022. The acquisition is subject to customary regulatory approvals.
James Campbell, Managing Director, commented: "KX36 is the most significant diamond discovery in Botswana since Orapa and Jwaneng. KX36, together with its associated Prospecting Licenses, adds scale to the Company's Sunland and Maibwe JV properties in the Kalahari. Botswana Diamonds will refine resource estimates of KX36, and development options. The Sekaka exploration database adds to Botswana Diamonds' extensive database, improving our diamond exploration programme, particularly in the Kalahari where we are currently focused."
John Teeling, Chairman, commented: "This is an important step forward for BOD. KX36 is a very significant diamond discovery and potentially offers upside potential - as do the two contiguous prospecting licences. You rarely, if ever, find a kimberlite pipe on its own and further exploration may find more kimberlite pipes. KX36, located deep in the Kalahari, presents challenges, but the greatest challenge of all is overcome - finding a significantly sized high-grade deposit. We have evaluated options on KX36 and believe we can add value to the discovery."
Sekaka Diamonds Exploration Pty Ltd ("Sekaka")
Botswana Diamonds has entered into a Sale of Shares Agreement with Petra Diamonds Limited ("Petra") and Kalahari Diamonds Limited ("Kalahari Diamonds") on 18 July 2020 to acquire the entire issued share capital of Sekaka currently held by Kalahari Diamonds, a wholly-owned subsidiary of Petra.
Botswana Diamonds PLC - BOD - Acquisition of KX36 Diamond Discovery in Botswana
Sekaka is Petra's exploration vehicle in Botswana and holds three Prospecting Licenses in the Central Kalahari Game Reserve ("Kalahari") in Botswana, PL169/2019, PL058/2007 and PL224/2007, which includes the high
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