The project is located 70km north of the capital, Gaborone, and is on the South African border.

Aviva has identified a large coal resource of 1.3 billion tonnes, including a probable run of mine reserve of 895mt.

The potential development options for Mmamantswe are well understood. Since acquiring the project in 2007, Aviva has undertaken numerous studies including water drilling, coal quality, coal preparation, mine scoping, power generation and transmission, and most recently – thermal coal export.

A study completed by A&B Mylec Pty Ltd in February 2011 demonstrates that the 895Mt Mmamantswe project could yield two products streams, namely 200Mt of export grade thermal coal and an additional 100-150Mt of domestic power coal capable of supporting a 300MW domestic power station with a mine life of 60 years.

Aviva is currently reviewing the project scope to determine the greatest opportunities to create value from shareholders in light of increased international interest in the region’s coal projects, from particularly Indian buyers.