Botswana Grants New Copper License to Reduce Reliance on Diamonds
Botswana is accelerating efforts to diversify its economy amid a downturn in the global diamond market. A new copper exploration license awarded to British junior miner Aterian highlights the country’s push to develop alternative mineral resources and reduce dependence on diamond revenues.
A New Bet on Copper
Aterian announced it has secured a copper exploration permit within the Kalahari Copper Belt (KCB), a region increasingly recognized for its copper potential. The license is initially valid for three years and spans 396.24 square kilometers, expanding the company’s total copper landholding in Botswana to 2,694.58 square kilometers.
The company plans to integrate this permit into a larger portfolio targeted for an artificial intelligence–driven exploration program. This initiative follows a recently announced partnership with French startup Lithosquare, aimed at accelerating discovery by combining geoscience expertise with data-driven prospecting.
Rising Activity in the Kalahari Copper Belt
Investor interest in Botswana’s copper prospects has been building. In recent months, Noronex secured additional exploration licenses, while Cobre has stepped up its drilling activities in the KCB. These efforts aim to build on the momentum created by Sandfire Resources, which has operated the Motheo copper project since 2023—one of the country’s few producing copper mines.
The growing cluster of exploration and development projects suggests that copper could evolve into a durable second pillar for Botswana’s mining sector. If successful, this shift would help balance an economy that has long been tied to diamond fortunes.
Why It Matters for Botswana’s Economy
Diamonds remain central to Botswana’s economic structure, accounting for about 80% of exports, one-third of government revenue, and roughly one-quarter of GDP. However, falling prices and softer global demand have weighed on the sector, prompting authorities to fast-track diversification. Recent projections indicate that Botswana’s economy could contract by 0.9% in 2025, underscoring the urgency of building new growth engines.
Expanding the copper industry could boost export earnings, broaden the tax base, and attract new technical expertise and investment. It could also deepen local supply chains—from exploration services and drilling to logistics and processing—creating jobs and supporting regional development in and around the Kalahari.
Beyond Copper: A Broader Diversification Agenda
While copper is a focal point, Botswana is also exploring other minerals such as manganese and nickel. The government’s strategy extends beyond mining to include improvements in transport infrastructure, investments in luxury tourism, growth of financial services, and development of the housing market. Together, these initiatives aim to reduce vulnerability to commodity cycles and create a more resilient, balanced economy.
Outlook
The new copper license awarded to Aterian is part of a wider wave of activity that signals growing confidence in Botswana’s geology and regulatory environment. If exploration converts into commercial discoveries and production, copper could significantly complement the diamond sector over the medium term.
For policymakers, the goal is clear: diversify revenue sources, safeguard fiscal stability, and position Botswana for sustainable growth. The momentum in the Kalahari Copper Belt—backed by technology-driven exploration and a supportive policy framework—suggests that the country is taking concrete steps toward that future.
