BHP Acquires Stake in Cobre’s Botswana Projects for Copper Exploration

Posted On: March 10, 2025
Posted By: Fatima Al-Mansoori
Comments: 0

BHP Group has acquired a stake in Cobre’s Kitlanya projects in Botswana, committing up to USD $25 million for exploration of copper-silver deposits. The partnership will focus on Cobre’s East and West Kitlanya projects with exploration activities commencing in April 2025. BHP has the option to earn a 75% interest in the projects while Cobre Botswana will operate during this phase.

BHP Group Limited has entered into a partnership with Australian company Cobre by acquiring a stake in Cobre’s Kitlanya projects located in Botswana. In return for up to USD $25 million, BHP aims to fund exploration activities focusing on copper-silver deposits. This investment targets Cobre’s East and West Kitlanya projects, situated at the edge of the Kalahari Copper Belt.

The agreement stipulates that BHP will allocate a minimum of USD $5 million within the next two years towards a total exploration budget of USD $7 million, commencing in April. This exploration effort follows Cobre’s involvement in BHP’s 2024 Xplor program and includes deep diamond drilling and 2D seismic surveys to assess the mineral potential for Tier 1 copper deposits. Mobilization for drilling is scheduled for April, aimed at areas specified in the 2024 Xplor seismic initiative.

Furthermore, BHP has the option to earn a 75% interest in the Kitlanya projects by investing the full USD $25 million, which includes the initial USD $5 million. During the earn-in phase, Cobre Botswana will act as the operator, receiving an annual management fee of no less than USD $250,000. As of 0920 GMT, BHP shares were noted to be down 0.91%, trading at 1,901.50p.

Reporting by Iain Gilbert at Sharecast.com.

BHP Group Limited has strategically invested in Cobre’s Kitlanya projects in Botswana, primarily targeting copper-silver deposits. The partnership will involve significant funding for exploration activities, with BHP potentially acquiring a 75% stake by investing up to USD $25 million. This collaboration reflects BHP’s commitment to advancing mineral exploration in key resource areas.

Original Source: www.sharecast.com

Fatima Al-Mansoori

Fatima Al-Mansoori is an insightful journalist with an extensive background in feature writing and documentary storytelling. She holds a dual Master’s degree in Media Studies and Anthropology. Starting her career in documentary production, she later transitioned to print media where her nuanced approach to writing deeply resonated with readers. Fatima’s work has addressed critical issues affecting communities worldwide, reflecting her dedication to presenting authentic narratives that engage and inform.