Lucara to shift management of Karowe project
Lucara Diamond Corp. has initiated a strategic transition in the management of its Karowe Underground Project (UGP) in Botswana. As part of this shift, the company has concluded its Engineering, Procurement, and Construction Management (EPCM) agreement with JDS Energy & Mining Inc., effective March 31, 2025.
However, Lucara has retained JDS under a newly signed Master Service Agreement (MSA) to continue delivering key engineering services. All on-site contracts and operations will now be overseen directly by Lucara’s internal team.
Boost in performance
This transition marks a move towards owner-managed operations, which is expected to enhance project performance through tighter cost management and more agile decision-making. By taking direct control of critical on-site activities, Lucara aims to increase efficiency, accelerate project timelines, and make better use of its deep operational knowledge of the Karowe mine. This approach is designed to drive long-term value and support the company’s commitment to maximizing returns for shareholders.
Progress on the underground development continues steadily. The production shaft has already surpassed a depth of 720 meters, while the ventilation shaft has reached over 680 meters below surface. Key surface infrastructure, such as the permanent bulk air cooling systems, has been largely installed, and construction on the production man and materials winder building is well advanced. These milestones place the project in a strong position as it transitions to the new management structure.
Lucara President and CEO William Lamb emphasized the benefits of the new model, noting that the company’s direct involvement in site-based activities will allow for faster and more effective responses to evolving project requirements. He expressed confidence that this change will improve execution and ultimately support greater value creation for all stakeholders.
