StockMarketWire.com - Botswana Diamonds said it and partner Vutomi had contracted Palaeo Minerals to provide bulk sampling and potentially mining services to their Thorny River project in South Africa.

The contract would enable Botswana Diamonds to self-fund the project from bulk sampling through to mine development, assuming positive results, the company said.

Indicated net royalties could be between $2m and $7m annually based on current estimates.

Drilling was planned to commence in 2019.

'We are confident that Thorny River could be the first diamond producing project for Botswana Diamonds,' chairman John Teeling said.

'A royalty bulk sampling and mining model means that we have no capital expenditure apart from a limited in-fill drilling programme in early-2019.

'We anticipate the award of the necessary regulatory approvals in anticipation of revenue being generated during the course of 2019.'

At 2:21pm: [LON:BOD] Botswana Diamonds PLC share price was -0.13p at 0.73p



Story provided by StockMarketWire.com