PRINT PAGE 

HOME > PROJECTS > AK 6

AK6

The AK6 deposit is situated approximately 15km south west of Letlhakane. A world class diamond discovery, African Diamonds' Joint Venture partners in Boteti Exploration Company are De Beers (66.22%) and Wati Ventures (5.4%). African Diamonds holds 28.8%. Once on stream, AK6 will be in the top 5 hard rock diamond mines in the world when measured by Profit/Revenue ratio.

Indicated Resource Declared for AK6*

• 0 to 400 metres (+1mm)
  • 11.1 million carats 
  • 51.8 million tonnes. Average grade: 22 carat per hundred tonnes
  • Modelled diamond value of US$151 per carat
  • US$1,700 million in the ground
• >400 metres additional deposit potential
  • 400-756m: 22.28 million tonnes
• *De Beers data

On 10 October 2008, a Mining License was issued for 15 years. Under the terms of this license:

• production must commence by April 2011
• there will be no government equity in the project
• diamonds will be sold to the Diamond Trading Company in Botswana (on the same terms as Debswana)
• taxation under the 12th Schedule of the Botswana Income Tax Act, including a variable rate

Production is planned as follows;

• Q1 2011 - 2.7mtpa in phase 1 ramping up to 4.2mtpa in phase 2 in 2014

Total capital of the project is US$380 million including contingency and escalation. Operating costs are US$13/ton with expected revenue of greater than US$34/ton. Development of the mine is to be fully funded.