Optimising economic value creation

"Despite concerted efforts by many African economies to diversify, the continent still remains primarily a commodities exporter. A commodity price shock owing to poor demand might mean less revenue for government and a disruption of government capital projects. The global economic slump made an example of Botswana in this regard when the diamond was relegated to the bottom of, or off, the international customer’s shopping list.

The shift in demand for African products especially by the European Union and the United States, accounting for almost 60% of Africa’s exports, did not help Botswana either. Many businesses went bust while those that trudged on were saddled by unsettled obligations and desperately needed recapitalization. With owed financial institutions demanding their dues it made little sense to ask them for more.

“In such circumstances three traditional options for raising capital are borrowing from the bank, listing on the stock exchange to raise capital or approaching a rich uncle for help,” VPB, founder and managing director, Anthony Siwawa told The Business Diary in an exclusive interview."

The world's premier mining and mining investment website Nimrodel Resources Commences Drilling at Takatokwane Project, Botswana - COMPANY RELEASES | Mineweb

HIGHLIGHTS

Diamond drill rig mobilized and drilling commenced ahead of schedule

First hole has intersected 3 coal seams

Estimated gross mineralisation intervals of the 1st and 2nd coal seams: 3.7m and 16.5m respectively

Nimrodel Resources Limited (ASX: NMR) is pleased to announce the commencement of drilling at the Takatokwane Project in Botswana. The Company was able to secure a diamond drilling rig earlier than planned and the rig was mobilized to site on Thursday last week. Drilling commenced on Friday and continued over the weekend."

Leighton in JV awarded US$586m mining service contract in Botswana

“We are very comfortable working in Botswana and, in particular of course, for the owners of the Jwaneng mine, being the Government of Botswana and DeBeers. Our partners, Basil Read from South Africa and Bothakga Burrow of Botswana, have operated extensively and for many years in the country,” said Mr Stewart.

“Strategically it makes sense for Leighton – the world’s largest contract miner - to take our mining capability to resources markets like Southern Africa. We see this region, which includes Botswana, Zambia, Namibia, Tanzania and Mozambique, as offering a significant range of mining opportunities.

Stocks to watch

Stocks to watch: "The world's biggest contract miner Leighton Holdings has won a $US586 million diamond mining services contract in Botswana as part of a joint venture."

IAMGOLD's Essakane Mine Continues to Operate Without Interruption in Burkina Faso

"'It is business as usual. We have not had any disruption to the Essakane operation. We have had no interruptions to our supply chain. More importantly, all of our employees, including 1,800 Burkinabe nationals, are safe and going about their normal routines."

Analysts recommend G4S Share split

"'Investors are currently facing market liquidity constraints with G4S,' says the research note. 'With only 8 million shares in issue, lack of transferability remains a concern. 'This is further worsened by the fact that the company's share price of P34.30 is too high, rendering it unaffordable for retail investors. We believe a 10 for 1 share split would help promote transferability and liquidity, as well as facilitate the acquisition of the company's shares by small investors.'"

African Mobile Broadband, Data and Mobile Media Market - Market Research Reports - Research and Markets

"This annual report offers a wealth of information on the mobile broadband and data market in 38 African countries as well as the emerging market for mobile content, applications and media on the continent. Subjects covered include:

- Mobile data services – SMS, MMS, WAP, GPRS, EDGE, 3G, 3.5G, 4G;
- 3G and 4G mobile broadband technologies – WCDMA, HSPA, EV-DO, LTE;
- Statistics, trends and analysis;
- Major market players;
- Mobile content, applications and media;
- Mobile TV;
- Location-based services;
- M-commerce, m-payments, m-banking.

The countries covered in this report include: Algeria, Angola, Benin, Botswana, Burkina Faso, Cameroon, Chad, Cote d’Ivoire, Democratic Republic of Congo, Egypt, Ethiopia, Gabon, Gambia, Ghana, Guinea, Kenya, Lesotho, Liberia, Libya, Madagascar, Malawi, Mali, Mauritius, Morocco, Mozambique, Namibia, Nigeria, Rwanda, Senegal, Sierra Leone, South Africa, Sudan, Swaziland, Tanzania, Tunisia, Uganda, Zambia, Zimbabwe."

ThePoor waste management led to tannery Closure'

"'The BMC Wetblue Tannery was closed in 2006 due to a number of long term threats to its financial viability, particularly associated with the management of waste from the facility. Wetblue processing uses a considerable amount of chemicals that are toxic to the environment (eg Chronium),' Assistant Minister of Agriculture Oreeditse Molebatsi said."

Basil Read wins JV Mining Services Contract for Debswana Diamond Mine

Ba"The South African construction company Basil Read has announced that the Majwe Mining Joint Venture, which consists of Basil Read Mining, Leighton International and Bothakga Burrow Botswana, has secured a five-year multi-billion rand mining services contract at the Debswana diamond Mine in Botswana."

Botswana seeks regional beef markets

"The Botswana Meat Commission says it is looking look for alternative beef markets in the Southern African region after the European Union temporarily stopped imports starting in March this year.

Exports to EU markets are expected to resume after six months when the commission should have sorted out concerns raised by the European bloc.

Reports indicate that the suspension of exports is taking a heavy toll on BMC's finances, threatening the livelihoods of the plus-1 000 workers, and the prices paid to ranchers.

Official statistics show that the BMC exported products worth P868.8 million primarily to the EU last year, supporting export parity payments to more than 6 000 farmers and propping up tens of thousands of dependents, support industries."

Group eyes neighbouring markets

Funeral Service Group’s continued impressive performance within Botswana’s boundaries in 2010 is expected to catapult, the Group’s activities in neighbouring markets this year, the company has said.

Botswana’s Government Says It Will Not Pay Striking Workers

Botswana’s government won’t pay state employees who begin a strike over pay today, Festinah Bakwena, director of the Department of Public Service Management, said on state television yesterday.

The workers are demanding a pay rise of 16 percent while the government has offered 5 percent. Botswana’s annual inflation was unchanged at 8.5 percent in March.

ANT Steel plans rebar mill in Botswana

Local media reported that an Indian delegation hosted by the Botswana Export Development and Investment Authority said that it is very keen to set up thermal power stations and steel manufacturing companies in Botswana.