Botswana’s president has finalized several agreements with Oman focused on mineral exploration, oil storage infrastructure, and renewable energy during a visit aimed at enhancing economic cooperation between the two nations. This strategic engagement reflects Botswana’s efforts to diversify its economy beyond diamond mining by tapping into critical minerals such as copper, gold, graphite, and iron ore.
President Duma Boko, on a three-day trip to Oman, oversaw the signing of these deals with Sultan Haitham bin Tariq. Among the agreements is a joint mineral exploration initiative targeting largely unexplored areas that cover approximately 70% of Botswana’s land. This move comes as revenue from diamond sales, which typically contribute about one-third of the country’s national income, has declined due to global market uncertainties and the growing preference for lab-grown diamonds.
In a significant development for Botswana’s energy sector, a deal was signed to develop a 500-megawatt solar power plant. This project follows an earlier announcement on March 20 that NAQAA Sustainable Energy LLC, a subsidiary of Oman’s state-owned O-Green, would be responsible for designing, financing, constructing, and operating the plant in northwest Botswana. The facility is expected to have a minimum operational lifespan of 25 years, supporting Botswana’s goal to raise renewable energy’s share in its power mix from the current 8% to 50% by 2030. The presidency highlighted that this plant will help secure Botswana’s energy future and generate long-term economic benefits, though financial specifics were not disclosed.
Additionally, Botswana Oil Limited, a state-owned company, entered into a joint development agreement with Oman’s energy investment firm OQ S.A.O.C to establish oil storage infrastructure in Walvis Bay, Namibia, and within Botswana itself. Meanwhile, Oman is also pursuing economic diversification to reduce its reliance on oil revenues, which have recently increased due to the surge in oil prices linked to the Middle Eastern conflict that began in late February.
