Botswana signs energy and mineral exploration deals with Oman

Botswana’s president has clinched multiple ​agreements with Oman, including on mineral exploration, oil storage infrastructure and renewable ‌power, during a visit to the Gulf nation designed to strengthen economic ties, the presidency said on Monday.

Botswana has been seeking to engage Gulf states as part of its strategy to diversify beyond ​diamond mining and into critical minerals such as copper, gold, graphite, and ​iron ore.

President Duma Boko, who is on a three-day visit, presided over ⁠the signing of deals with the Sultan of Oman, Haitham bin Tariq, the ​presidency said.

They included a joint mineral exploration deal under which Botswana will seek to increase mining ​exploration, targeting unexplored areas covering roughly 70% of its territory.

Revenue from diamond sales, which typically account for about a third of Botswana’s national revenue, has fallen as the global diamond market has been ​weakened by economic uncertainty and the rise in popularity of lab-grown stones.

SOLAR POWER ​PLANT WITH MINIMUM 25-YEAR LIFE

Another deal was for the development of a 500-megawatt solar power plant that ‌follows ⁠on from an announcement on March 20 that NAQAA Sustainable Energy LLC, a subsidiary of Oman’s state-owned O-Green, had been selected to design, finance, construct, and operate the plant in northwest Botswana.

It will have a minimum operational life of 25 years as Botswana ​seeks to increase ​the contribution of renewable ⁠energy in its power supply from 8% now to 50% by 2030.

The presidency’s statement said the plant would position Botswana “to secure ​its energy future and unlock long-term economic value”.

It did not provide ​any financial ⁠details.

State-owned Botswana Oil Limited also signed a joint development agreement with Oman’s energy investment company, OQ S.A.O.C to build oil storage infrastructure in Walvis Bay, Namibia, and in Botswana.

Oman ⁠is also ​trying to diversify its economy, which is dependent ​on oil, although its revenues have increased as a result of the oil price surge linked to the Middle Eastern ​conflict that began at the end of February.