Debswana Mining
Debswana Proving big is beautiful
Mining
D
ebswana Mining is the world’s leading producer of diamonds by value and the largest private sector employer in Botswana. With more than 5,000 staff members, its diamond mining operations are located on four mining sites in Orapa, Letlhakane, Damtshaa (OLDM) and Jwaneng. Contributing significantly to the economic growth of Botswana, the revenues produced have played a huge part in lifting the country from one of Africa’s least developed countries to an international development success story. Debswana is a key player in the national economy of Botswana, with diamond exports accounting for a third of the country’s GDP and roughly half of the government’s revenues.
History Debswana Mining is a joint venture between the Botswana government and the South African diamond company, De Beers, with each owning 50 percent of the company. Initially founded in 1968 as De Beers Botswana Mining Company, it was officially renamed as Debswana Mining Company in 1992. With almost 50 years of history, Debswana Mining’s mission is to mine and recover diamonds in an optimal and responsible manner. Its vision to be a global bench-mark diamond business is not an unrealistic one at all, with its flagship mine, Jwaneng taking pride of place in its operations as the richest diamond mine in the world by value.
Operations Overview Taking its responsibilities seriously and recognising its ability to help the community, an impressive 97 percent of permanent employees are citizens of Botswana. Whilst Jwaneng mine is without a doubt the jewel on the crown for Debswana Mining, its four sites combined have lifted Botswana to become a country that is as independent by means as it is by name. Jwaneng Mine The mother ship of all its mines, Jwaneng Mine contributes between 60-70 percent of Debswana’s total revenue due to its substantially higher dollar per carat obtained. Officially opened by the then
President of Botswana, His Excellency Sir Ketumile Masire, Jwaneng mine became fully operational in 1982. Whilst production varies, it has been known to produce up to 15 million carats in one year. This outstanding rate of recovery combined with the excellent quality of diamonds mined continues to make Jwaneng Mine the single richest diamond mine in the world, by value. In 2018, Cut-8 is anticipated to become the main source of ore for Botswana’s Jwaneng Mine. It is named Cut-8 because it’s the eighth expansion of the mine. This project is anticipated to deliver access to 93 million carats of mostly highquality diamonds and is expected to raise Jwaneng Mine to one of the largest open
pit mines in the world. When it reaches operational phase, the project will support more than 4,500 jobs per year and ensure continuous production until at least 2024. Orapa Mine Discovered in 1967 by a team of De Beers’ geologists, Orapa became fully operational in 1971 when it was officially opened by the then President of Botswana, His Excellency Sir Seretse Khama. A conventional open pit mine, it is the company’s oldest operating mine and expected to reach a depth of 450 metres by 2026. Whilst its production
varies according to mining plans, Orapa is a significant contributor to the total production. It is second only to Jwaneng in volume and averages 12 million carats per year. It is the biggest open cast mine in the world and has the world’s second largest diamond-producing kimberlite pipe. Orapa is expected to produce around 153 million carats from 205 million tonnes of ore over its 15 year lifespan. The mine is situated 240 km west of Francistown and Orapa town serves as the administrative centre for Orapa, Letlhakane and Damtshaa Mines. Letlhakane Mine Situated just 50km from Orapa, Letlhakane Mine became Debswana’s second mine when it opened in 1975. It is the company’s deepest mine, lying within the Orapa kimberlite area and was discovered when Orapa was initially being sampled and evaluated. The Letlhakane open pit operation is expected to produce around 1.2 million carats, from 6.2 million tonnes of ore, for the remaining three years of its life. Treatment of tailings began in 2016 and will see the mine running for a further 24 years, producing an estimated 21 million carats from 83 million tonnes of ore. Damtshaa Mine The youngest of Debswana’s mines, Damtshaa was officially opened in 2003. Consolidating four small diamond pipes that were discovered between 1967 and 1971 into one mine, Damtshaa was
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formed about 20km east of the Orapa kimberlite pipe in central Botswana. Damtshaa mine was placed into care and maintenance in December 2015, with an average recovery rate of 0.161 million carats per annum. A sparkling future Debswana, the world’s largest diamond producer by value and a public-private joint partnership, is now in its fifth decade of operations. Regarded as one of the most successful in the world, Debswana has contributed considerably to Botswana’s transformation from a mainly agricultural country to a nation that enjoys one of the highest economic growth rates in the world. Substantially increasing both the country’s GDP and the Government’s
revenues, Debswana is the main foreign exchange generator and the largest private employer in Botswana. Having experienced sizeable discoveries and growth over the last 50 years, today, Debswana operates four open-pit mines which receive international interest: from the world’s richest diamond mine by value that is also on its way to achieving super-pit status, to the planet’s largest open-pit diamond mine. It is therefore no surprise that Debswana has been recognised by industry leaders across the globe. Demonstrating that a true partnership between a well-managed government and a commercial enterprise can be mutually beneficial for a country and company, Debswana Mining’s future is set to continue sparkling.
Oliver Moy Publisher
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