Botswana News

Losses continue at John Teeling’s Botswana Diamonds

John Teeling’s Botswana Diamonds has reported an operating loss of £195,000 (€227,900) for the six months ended December 2020.

his is an increase of £1,000 on the loss reported in the corresponding period in 2019, according to interim results from the company.

The group had assets of £8.3m (€9.7m) at the end of the period.

The company said it has made “significant progress” on its diamond development projects in both Botswana and South Africa.

Following the end of the trading period, the company entered into a cooperation agreement to fund exploration of its prospecting licence assets in Botswana with Diamexstrat Botswana, which in turn has an alliance agreement with Burgundy Diamond Mines.

In January this year Botswana Diamonds arranged a share placing with existing and new investors to raise £363,000 (€424,000) via the issue of 60,500,000 new ordinary shares at a placing price of 0.6p per placing share. The net proceeds of the placing will fund ongoing diamond exploration in South Africa and Botswana and will also provide the company with additional working capital, according to Botswana Diamonds.

In July last year Botswana Diamonds bought an exploration site and diamond processing plant in the African nation for deferred payments totalling $300,000 (€260,000).

The cash consideration is payable on a deferred basis with $150,000 payable on 27 November this year and the balance on or before 27 November next year. The acquisition was completed in November 2020.

Online Editors

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