Botswana's new president agrees to only 30% share of diamonds sales

After years of negotiations, Botswana has secured a landmark 10-year diamond sales agreement with De Beers, enhancing its share of revenue from the Debswana joint venture. The new deal marks a significant shift in the balance of diamond sales between the two parties.

Under the terms of the agreement, Botswana's share of diamond sales will increase from 25% to 30% for the first five years. For the subsequent five years, Botswana's share will rise further to 40%. Additionally, the agreement includes a five-year extension option, which could see the sales split equally, with each party receiving 50%.

In exchange for these terms, De Beers has been granted a 25-year extension of its mining licenses in Botswana. The extension ensures that De Beers can continue its operations in the country from 2029 through to 2054, securing a long-term future for its mining activities in Botswana.

The agreement is a crucial step for Botswana, which has long sought a larger share of the revenue generated by its diamond resources. With the country being one of the world's leading producers of diamonds, this deal is seen as a significant win for Botswana's economic interests and its relationship with De Beers.

The extension of the mining licenses and the increase in diamond sales revenue are expected to boost Botswana's economy, further solidifying its position as a global leader in the diamond industry.