MDCB to acquire stake in Botala Energy
Pauline Dikuelo | Monday October 13, 2025 06:57
Botala directors said the decision marks a significant vote of confidence in the commercial and technical potential of the Serowe CBM Project, following an in-depth review by MDCB. The investment will be made under Section 40 of the Mines and Minerals Act, which allows the government to take an ownership stake in strategic mining and energy projects.
The directors said Botala Energy has received an initial Term Sheet from MDCB, which remains confidential pending the completion of final agreements. The transaction’s completion is subject to the signing of detailed operating agreements—expected between November and December 2025—and approval by the MDCB Board and its shareholders.
Welcoming the move, Botala Energy Chief Executive Officer Kris Martinick said MDCB’s planned participation aligns with Botswana’s national energy security objectives and affirms the project’s viability.
“Their planned participation reflects confidence in the project’s potential and alignment with the government’s energy security objectives. “This investment will support our immediate work programme and provide a foundation for the next stage of project development,” he said in a statement to investors.
Botala Energy is currently advancing a bankable feasibility study for the development of a modular LNG production facility to commercialise gas from the Serowe CBM Project. The study involves detailed engineering, financial modelling, and delivery planning for a four-phase development strategy targeting production of 3.5 petajoules (PJ) of gas from 108 wells.
The partnership between MDCB and Botala Energy is expected to fast-track Botswana’s transition towards domestic gas production and strengthen the country’s position as a regional player in the LNG sector.