Gaborone, Botswana — President Duma Boko’s recent three-day visit to Oman has yielded significant agreements aimed at diversifying Botswana’s economy. The visit, which sought to enhance bilateral relations, marked a strategic step for the Southern African nation, focusing on expanding beyond diamond trading.
The agreements, signed with Sultan Haitham bin Tariq of Oman, include a cooperative mineral exploration deal targeting an uncharted region that covers over 70% of Botswana’s land. This move is part of Botswana’s response to the global diamond market’s instability and the rise of lab-grown diamonds, which have diminished diamond sales and affected the country’s national income.
To mitigate these challenges, Botswana is eyeing the supply of critical minerals, such as copper, cobalt, and lithium. A pivotal development in this effort is the establishment of a 500-megawatt solar power facility in northwestern Botswana, a project announced on March 20. Managed by NAQAA Sustainable Energy LLC, a subsidiary of Oman’s state-owned O-Green, the facility is set to diversify Botswana’s energy sources.
In January, Botswana experienced a diamond oversupply crisis, with the stockpile exceeding the government’s authorized threshold by over 85%. This event underscored the urgency for economic diversification, as diamonds still dominate the country’s national revenue and foreign exchange.
The exploration of critical minerals has gained momentum with a significant discovery by Canadian mineral exploration company Tsodilo Resources Limited. The discovery at the Gchwihaba Metals project near Shakawe in north-west Botswana points to Botswana’s potential in the emerging sector of critical minerals.
Source: Africa.businessinsider
Original author: Chinedu Okafor
