Sandvik to supply underground mining fleet, financing to Lucara’s Karowe project
Sandvik has received orders from Lucara Botswana, a subsidiary of TSX-listed Lucara Diamond Corp, to supply a 15-unit fleet of underground drills and loaders, parts, rock tools and related services for the Karowe mine, in Botswana.
The order includes five Sandvik DD321 development drills, four Toro LH517i loaders, two Toro LH621i loaders, two Sandvik DD422i development drills, one Sandvik DS422i cable bolter and one Sandvik DU311 longhole drill.
Aftermarket support has also been included with this order, with Sandvik noting that this maximises equipment availability and productivity throughout the fleet’s operating life.
The order was booked in the second quarter and deliveries are ongoing and will continue through to the fourth quarter of this year.
“As we continue developing the Karowe underground mine, we were looking for a partner that could support us throughout the project lifecycle.
“Sandvik’s combination of leading underground equipment, aftermarket support and financing capability made it a compelling solution for our operation. This investment supports our strategy of building a safe and productive underground mine,” says Lucara corporate finance director Benjamin Wang.
Regarding aftermarket sales, Sandvik states that it will support Lucara with aftermarket services, rock tools and digital solutions, including the My Sandvik and Remote Monitoring Service, which uses cloud technology, AI and telematics to track equipment health, optimise performance and transition mines to proactive maintenance.
“This order demonstrates the breadth of our offering and our ability to support customers in Botswana with an integrated solution that extends beyond the equipment.
“By bringing together expertise from across Sandvik, we can support Lucara throughout the equipment lifecycle while contributing to the long-term success of its underground operation,” says Sandvik Mining Botswana territory manager Floors Foord.
The fleet investment is being financed through Sandvik group subsidiary Sandvik Financial Services (SFS), with the financing backed by an export credit guarantee from government authority The Swedish Export Credit Agency (EKN).
“By combining Sandvik’s mining expertise with our financial services capabilities and EKN’s export credit support, we were able to structure a competitive financing solution around Lucara’s investment requirements.
“It demonstrates how financing can complement our equipment and aftermarket offering and help customers advance significant long-term mining investments,” says SFS Europe, Middle East and Africa manager Tony Clark.
Karowe is currently transitioning from openpit to underground mining through the Karowe project, which aims to extend the mine life beyond 2038. The mine continues to attract global attention for its strong track record of recovering large, stand-out diamonds, including its tenth diamond weighing more than 1 000 ct, announced earlier this year.