Botswana signs mineral and energy exploration deal with Oman

The presidency announced on Monday that a trip to Oman to strengthen economic relations led by the Botswana president resulted in multiple agreements, including those on mineral exploration, oil storage infrastructure, and renewable energy.

Botswana is seeking to engage Gulf States as part of its strategy for diversification beyond diamond mining to include critical minerals like copper, gold graphite and iron ore.

The presidency announced that President Duma Boko, who was 'on a 3-day visit', presided at the signing of agreements with Sultan Haitham bin Tariq of Oman. The deals included a joint exploration agreement under which Botswana would 'increase mining exploration by targeting areas that are unexplored covering approximately 70% of its land. Diamond sales, which account for about a third (or more) of Botswana’s revenue, have fallen due to the global market being weakened by economic uncertainty and the popularity of lab-grown diamonds.

SOLAR POWER PLANT FOR A MINIMUM LIFE OF 25 YEARS

A 500-megawatt plant was also developed. This follows an announcement made on March 20, that NAQAA, a subsidiary owned by Oman, the state-owned O-Green had been chosen to design, finance, build and operate this plant in the northwest of Botswana.

The minimum life expectancy of the system will be 25 years, as Botswana aims to increase its renewable energy contribution in its electricity supply from 8% today?to 50 % by 2030.

In a statement, the presidency said that the plant will enable Botswana to "secure its energy future" and "unlock long-term economic values".

The company did not provide any financial information.

Botswana Oil Limited, owned by the state, also signed a joint agreement with Oman’s energy investment company OQ S.A.O.C. to build oil storage facilities in Walvis Bay in Namibia and in Botswana. Oman also tries to diversify its oil-dependent economy. Although its revenues have increased due to the surge in oil prices linked to the Middle Eastern conflict which began at the beginning of February. (Reporting by Brian Benza; Editing by Olivia Kumwenda-Mtambo)

(source: Reuters)