Botswana Metals in rights issue to raise cash for exploration

Sunday Standard: “The funds will be used to continue exploration at BML’s three discovery areas at Airstrip Copper, Maibele North and Dibete,” Botswana Metals said.

“The funds will also be used to test additional new targets identified as VTEM anomalies to the East at Takane (PL54/98) and cash for general working capital requirements over the next 12 months,” it added.

BIHL CEO brings new opportunities and businesses to the group

Sunday Standard: “We must anticipate their needs quickly, provide exceptional service and ensure our products add value to the customers,” he says. Hassam says his plans of bringing the organization in order to sustain BIHL's contribution to the country's development at the highest level includes the growth of the BIHL Group by bringing new opportunities and businesses to the BIHL stable.

“My job is to provide leadership to the BIHL Group to ensure shareholder growth in value in a responsible and sustainable manner and be the steward to the BIHL assets and interest,” he explains.
According to Hassam, there will obviously be pressure for anyone in the CEO’s role.

“I, however, am comfortable in handling the pressure; this is due to the highly experienced and competent team we have at BIHL; support we have from our valued customers, of which am thankful and as a result of the supportive stakeholders,” he states.

African Copper secures additional funding from ZCI

Sunday Standard: “USD1 million will be invested in increasing the trucking of ore from the nearby Thakadu deposit to the Mowana facilities, USD2 million will be invested in a Larox Filter to be installed at Mowana to reduce moisture content in exported concentrate and USD2 million of the Facility will be used for general working capital purposes,” the company said.

Botswana exports record amount of diamonds in 2011

gabzfmnews: diamondsOfficial figures indicate that Botswana exported a record amount of diamonds, worth 4.34 billion dollars last year.

Firestone Diamonds down despite positive update on operations | 7 February 2012

Stock Market Wire: Shares in Firestone Diamonds (LON:FDI) fell despite a positive update on its operations in Lesotho and Botswana and the sale of all the goods on offer at its rough diamond tender.

Chief executive Tim Wilkes said: "We are very pleased with the performance of the plant at Liqhobong over the past two months.

"We are implementing a programme of continued improvement and enhancement to maximize the recovery of diamonds and we are confident that we will see positive results over the coming weeks.

"The performance of the mineral resource has been outstanding with respect to grade, mine call factor and diamond assortment.

"The recovery of three plus 100 carat diamonds, albeit broken, confirms Firestone's conviction that the resource has the ability to produce much higher value diamonds than recovered to date.

"These positive indicators bode well for Firestone as we shift our focus towards phase 2 of the project, being the development of a world class diamond mine and a purpose built plant facility."

Shares in Xstrata (LON:XTA) were also down after it agreed an all-shares merger with Glencore that would create a $90bn natural resources group.

Xstrata's operating businesses and Glencore's marketing functions will continue to operate under their existing brands.

It is proposed that the combined entity will be called Glencore Xstrata International, listed on the London and Hong Kong Stock Exchanges, with its headquarters in Switzerland and will continue as a company incorporated in Jersey.

Xstrata chief executive Mick Davis said: "A merger between Glencore and Xstrata offers a unique opportunity to create a new business model in our industry to respond to a changing environment.

"It is the logical next step for two complementary businesses, each with an outstanding track record of shareholder value creation, entrepreneurial management and a proven ability to spot valuable opportunities and capitalise on them."

Norilsk Boosts African, Australian Nickel to Cut Russia Reliance

Bloomberg: The company is preparing to start its Honeymoon Well project in Australia, with a designed capacity of 40,000 tons of nickel a year, and is working to expand resources at its Tati Nickel project in Botswana, according to the statement.

Downsizing will impoverish Batswan

The Botswana Gazette: Dr Keitseope Nthomang, senior lecturer at UB and social policy specialist concurred that downsizing is going to impoverish the poor. “They will fall back into the social safety net system which is currently not being sustained, and as such there will never be empowerment. The government is inefficient and cutting of jobs is not being productive,” said Nthomang. He pointed out that emphasis by the government should not be about money but efficiency, productivity and the impact.

Tourism earned P1 billion during festive season

The Botswana Gazette:

This year’s World Wetlands Day theme was, ‘Wetlands and Tourism a Great Experience - Responsible Tourism Supports Wetland and People’. Mokaila said the revenue earned through tourism last Christmas showed that the industry was a force to reckon with as the government tries to diversify the economy.

About 150,000 Batswana living around the Okavango Delta make a living from tourism and activities around the delta. “There has to be a balance between development and conservation because wetlands like the Okavango Delta and Chobe River bring life to the people near them. We need to draft a policy that ensures sustainable management of the local wetlands because of their good tourism,” he said.

CIC dismisses hostile takeover claims

BG reporter TSX and Botswana Stock Exchange (BSE)–listed CIC Energy has reaffirmed its commitment to Mmamabula Energy project with its president dismissing comments that the company was selling its crucial project to an Indian energy company. “There is this misconception that we were selling the project. We were contacted by JSW. We considered it and we agreed,” CIC Energy president, Gregory Kinross said Tuesday in Gaborone. In June 2011, Kinross bowed to intense political pressure and withdrew CIC Energy planned bid to engage in a US$418 million all-cash-offer from Indian power utility giant, JSW Energy. When government declined to sign crucial acquisition documents allowing a hostile takeover, the Bombay Stock Exchange-listed energy giant pulled out of the deal. On Tuesday, Kinross could not explain the decision to abandon an 8-month pursuit by JSW, but reiterated his commitment to the 300-mega watts (MW) coal-fired energy project in eastern Botswana. “The deal fell through,” he said on the sidelines of a one-day coal conference, which sought to update investors on the latest developments on coal mining and exploration in Botswana. Analysts say the decision to abandon the P10 billion Mmamabula coal-fired energy project was motivated by South Africa’s decision to opt out of energy import from Botswana. This forced CIC Energy to restrain its ambitions to export 1200 MW power to South Africa, following developments in May 2011 that a second Integrated Resource Plan in South Africa did not provide any opportunity to supply power to South Africa. This saw the company almost putting the ambitious Mmamabula Energy project on hold. In 2008 the Toronto-based energy giant completed a feasibility study on the proposed 1600 kilometre railway project to transport coal to a seaport. Coordinator of the Transport Hub, Thapelo Leareng, explained that the P60 billion coal transport project intends to involve the private sector in the development of both the railway and the port. With over 210 billion tonnes of coal reserves, government is keenly eyeing an opportunity to export 90 million tonnes of coal annually mostly to satisfy Asia’s insatiable appetite for energy. “During the first year, we want to transport 25 million tonnes, rising to 65 million in five years to make the project feasible,” he explained. Government expects to achieve its 90 million tonnes target in the next 10 years. Leareng explained challenges associated with transporting millions of tonnes of coal to a seaport. The government has an option of using the Trans-Kalahari railway route dubbed the Mmamabula-Gobabis-Walvis Bay route, which is estimated to cost over P67 billion (or US$11.16 billion). Leareng is aware of the many conservation and environmental challenges associated with constructing a 1600 km railway line. Government has also signed three Memoranda of Understanding with Mozambique and Zimbabwe regarding the proposed Porta Techobanine Project in Mozambique. To Kinross, the main point is about ensuring that coal reaches its intended destination. He explains that CIC Energy is prepared to assist government. “We don’t care which route, we are ready. We completed pre-feasibility study in 2008. We are very committed to the project.” Coal prices remain stable despite high demand from Asia, especially from China.

Lotsane Dam is complete

By Kgotsofalang Botsang PALAPYE - The country's sixth largest dam is complete. The Maunatlala-based Lotsane Dam, with a water holding capacity of 40 million cubic metres, is expected to benefit 22 Tswapong villages. The tender for the dam construction was awarded to Sinohydro Corporation in January 2009 at the cost of about P724 million. The project's resident engineer, Mr Moghes Mekonen said in an interview that the dam had started holding water, however he said since the catchment area had not experienced heavy rainfall, the water was not enough. "The dam is filling up but it has not reached a level where we could start supplying water to the 22 identified villages." Mr Mekonen said construction of the 1.4km dam and associated works such as the 180m wide spillway, an irrigation pipeline and a pump station were complete. "Each and every stage of the project was supervised and we applied quality control measures," he said. The dam was initially expected to be complete by October 2011 but the date was extended to December 2011. The dam is also expected to drive the promotion of economic diversification and uplift the socio-economic status of the local communities through the provision of irrigation water for a horticultural project covering 250 hectares. BOPA

Recession calls for prudent spending

MAUN - The managing director of Maun Lodge says business owners should financially discipline themselves and be selective in their spending. Speaking at a budget review session organised by Stanbic Bank, Mr John Wellio said following the presentation of Botswana's 2012/2013 budget by the minister of finance and development planning, business owners should be mindful of the stern warning made by government. "The minister stated that this year's budget dictates that we must operate within a severely constrained budget and that the budget was prepared under conditions of considerable uncertainty with a possibility of yet another recession looming," he said. Mr Wellio indicated that it is going to be a tough year for everyone. "As we are all aware, government is a major player in the economy and we all depend on government spending," he stated. He further said if government does not spend, it means the private sector has got very little in economic activity. "When government tightens up, the private sector gets a shiver," he noted. Mr Wellio said businesses should get their priorities right so that they can stay afloat and cautioned that if they do not tread carefully they will be the losers. Mr Wellio said it was worrying that the minister stated that Botswana's investment climate is not conducive. "A conducive business environment is necessary if we have to diversify the economy," he said.

Debswana workers fear radiation exposure

Mmegi Online: "We are worried that some people might in the long run suffer from diseases such as cancer caused by constant exposure to radiation," Ramoitoi said. According to the De Beers website, Scannex is a low X-ray dose full body scanner useful for resource protection. Its primary application is the detection or deterring of illegal diamond possession and trade by personnel at diamond mining operations. The website added that images produced by Scannex are of such high resolution that it can detect diamonds as small as one carat - wherever they are located on a human body.

DEBSWANA LAUNCHES NEW SAFETY PROGRAMME

The Voice The ECOHS initiative which was officially launched by the Chief Executive Officer of the Botswana Chamber of Mines (BCM) Charles Siwawa in Orapa on Tuesday is expected to achieve total safety for the diamond mining’s employees, its stakeholders and the surrounding community.

“It is a leap from a year of injuries to a year of zero harm , charaterised by zero tolerance to substandard conditions and behaviours; zero repeats, zero pollution and negative biodiversity impacts. A year in which our embrace the fact that all injuries and occupational illness can be prevented”, said the Orapa Mine Plant Manager, Kgolagano Banabotlhe.