SouthernEra Diamonds Gains Foothold at Orapa

source: Diamonds.net

By Avi Krawitz

SouthernEra Diamonds acquired a 55 percent interest in the BK16 kimberlite pipe in the Orapa Kimberlite Field in Botswana, giving it a foothold in the world’s wealthiest diamond producing region.

The Toronto-based company said March 28, 2007 it signed an agreement with local company Kenrod Engineering Services, which owns the BK16 prospecting license.

Under the agreement, SouthernEra gains the right to earn up to a 70 percent interest in the project by funding exploration to the completion of a definitive feasibility study.

The agreement has been forwarded to Botswana’s Minister of Mines for approval.

“This development affords us an accelerated entry into the largest diamond producing country by value in the world,” said Alasdair MacPhee, CEO of SouthernEra.

The BK16 pipe is located 40 kilometers east and 12 kilometers north of De Beers’ Orapa and Letlhakane diamond mines, respectively. With De Beers’ Jwaneng mine also in the area, the southern Botswana region is the world’s largest diamond producer by value, accounting for 34 million carats annually.



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