RESTRUCTURING PLANS ON FOR DEBSWANA

ACCORDING ccording to reports Debswana, the equal joint venture between De Beers and the Botswana government, would focus on its core business of diamond mining, as part of an operational review. The company would out source all its other business operations, which include running hospitals, shops and schools in the Orapa and Jwaneng regions, to Botswana-based companies, in order to allow it to concentrate on its diamond interests

Debswana�s deputy managing director Leonard Makwinja took the step so as to concentrate more on diamond business. The company plans to do away with certain posts in an effort to cut costs. Makwinja also noted that Debswana would need added investments of up to $1.02 billion in order to fund its expansion activities, which include taking the Jwaneng mine underground by 2009 and the reconstruction of the Orapa plant