Lucara Diamonds has ended its engineering, procurement, and construction management contract with JDS Energy & Mining (JDS) as of March 31, shifting to owner-managed operations for the Karowe underground expansion project (UGP) in Botswana.
Announcing the transition on Monday, the Canada-based company stated that it had signed a master service agreement (MSA) with JDS to complete specific engineering components, while all site-based contracts and activities now fall under Lucara’s direct oversight.
The move is expected to improve cost control, enhance operational efficiency, and provide greater flexibility in decision-making.
By managing key project milestones internally, Lucara aims to leverage its in-house expertise for more effective project execution.
“This strategic shift allows us to capitalize on our team’s deep understanding of the Karowe mine and its unique characteristics.
Direct control of site activities will enable us to respond more quickly to project needs and challenges,” said Lucara President and CEO William Lamb.
Lucara acknowledged JDS’s contributions and noted that the firm would continue to be involved in specific engineering aspects under the MSA.
The UGP is a vital initiative for Lucara, designed to extend the life of the Karowe mine. The project has seen significant progress, with the production shaft now exceeding 720 meters in depth and the ventilation shaft surpassing 680 meters.
Additional developments include advancements on the production man and materials winder building, with most surface infrastructure, including bulk air coolers, already in place.
