After six years of negotiations, it’s official: De Beers and the Government of Botswana have signed a shiny new 10-year diamond sales agreement—with the option to extend it for another five.
But wait—there’s more sparkle. ✨ They also finalized a 25-year extension on mining licenses for Debswana (their 50/50 joint venture), covering two of the world’s most famous diamond mines: Jwaneng and Orapa, now locked in through 2054. 📆🔐
At the signing ceremony in Gaborone, Botswana’s new president Duma Boko said it loud and clear:
“We have us a good deal... This partnership is about you,” speaking to the people of Botswana.
This move comes at a critical time. The diamond market has been in a slump, and De Beers' parent company, Anglo American, has taken some big write-downs—$1.6 billion last year, another $2.9 billion this month. 😬 The company now values De Beers at $4.1 billion and is preparing to sell it off.
Still, this deal is a major confidence boost for both the country and the industry. De Beers CEO Duncan Wanblad called it “an extraordinary diamond partnership… securing stability and setting the stage for De Beers’ next chapter.”
With the diamond world watching closely, this pact secures supply, reassures the global value chain, and helps position De Beers for its next big move as a potentially independent company.
TL;DR:
- ✅ 10-year sales deal (with 5-year extension option)
- ⛏️ 25-year mining license extension (through 2054)
- 🇧🇼 Big win for Botswana’s economy
- 💼 Major milestone as De Beers heads toward independence
Stay tuned—this diamond saga is just getting started.