Botswana announces new diamond sales deal with mining company De Beers

Botswana has struck a new diamond sales agreement with mining firm De Beers.

The new agreement, will increases Botswana’s portion of the rough stones produced by their joint venture.

Debswana, a joint venture between the government of Botswana and Anglo American Unit De Beers, sells 75% of its output to De Beers, with the remaining 25% going to the government-owned Okavango Diamond Co.

The new agreement includes a 10-year sales agreement for Debswana raw diamond production through 2033, as well as Debswana mining licenses for 25 years.

Botswana President Mokgweetsi Masisi, who is slated to vie for re-election next year, had pressured De Beers for a larger part of Debswana’s output in the build-up to Friday’s agreement.

Botswana stated in March that it will acquire a 24% share in Belgian gem processing firm HB Antwerp, in an effort to weaken De Beers’ control on the country’s jewels.

Botswana contributes 70% of De Beers’ raw diamonds.