Karowe Underground Project Keeps Botswana Diamond Mine on Track for 2028 Production

Karowe Underground Project Keeps Botswana Diamond Mine on Track for 2028 Production. Lucara Diamond Corporation’s Karowe Underground Project (UGP) continues to advance towards full-scale underground production in the first half of 2028, despite a delay affecting construction of the project’s headframe steel.

The underground expansion is expected to extend the operating life of the Karowe Diamond Mine to 2038. The project is designed to access higher-value sections of the Karowe orebody, with initial underground production expected to come mainly from the EM/PK(S)3 unit.

Following an updated feasibility study released in January 2026, the estimated total cost of completing the project stands at US$779.2 million, including contingency.

As of 30 June 2026, Lucara reported that US$275.9 million remained to be spent, while another US$99.8 million had been committed but had not yet been incurred.

Several major milestones have already been reached. Shaft sinking was completed in 2025 after the 776-metre production shaft and 729-metre ventilation shaft reached their planned depths.

In July 2026, the production shaft’s auxiliary and man-and-material winders received licences from Botswana’s Department of Mines, marking another step in preparing the underground operation for production.

The project has also recorded a strong safety performance, reaching 2,340 lost-time injury-free days. Its project-to-date Total Recordable Injury Frequency Rate stands at 0.57, below the target of 0.90.

However, progress has not been without challenges. Construction of the headframe steel was delayed by approximately six weeks following late and out-of-sequence deliveries as well as rework at the site.

The delay affected the planned mobilisation of Group R Mining, the contractor responsible for lateral development. Lucara said underground mining activities are now expected to begin in August 2026.

The company said additional lateral development was completed to reduce the impact of the delay by creating more working areas. According to Lucara, this is intended to support an accelerated ramp-up once mining activities begin.