African Diamonds bought by Lucara

IRISH mining company African Diamonds has been bought out by its Canadian counterpart, Lucara, for around €58.5 million.

The two companies jointly own the highly regarded AK6 diamond mine in Botswana, in which the Irish company has been involved for some time. This deal will give Lucara virtually full control of the mine and see African Diamonds’ remaining interests spun off into a new independent company, called Botswana Exploration.

That company will continue to be run by the founders of African Diamonds – including chairman John Teeling – and will seek, in the new year, a public listing in London and Botswana.