London-listed Gem Diamonds has announced it entered into an agreement to sell 100% of its shares in its subsidiary Gem Diamonds Botswana to Okwa Diamonds. The company’s offshoot owns the Ghaghoo mine in Botswana, located in the country’s central part.
“This sale is in line with our strategic objective to dispose of non-core assets. Gem Diamonds remains focused on optimising production and efficiency at the Letšeng mine in Lesotho. On behalf of Gem, we wish the Okwa Diamonds team well for the future,” said Cliffor Elphick, the chief executive of Gem Diamonds, as quoted in a statement.
Okwa Diamonds is to pay a total of US$4 million.
Gem Diamonds says it also owns 70 percent of the Letšeng mine in Lesotho and is currently in the process of selling its 100% share of the Ghaghoo mine in Botswana.