Powering Progress with Sustainable Coal. 

MDCB Investment Process: Transparent, Strategic, Sustainable 

Based on comprehensive evaluation, MDCB makes informed decisions on project financing and partnership opportunities:

1

Deal Origination

2

Evaluation & Due Diligence

3

Decision

4

Portfolio & Asset Management

1. Deal Origination

The first step in our investment process is the indentification of investment opportunities across the mining and minerals sector. Key considerations include the following:

Project Overview:

A detailed description of the project, including its scope, objectives, stages of development and jurisdiction.

Technical Considerations:

Information on the mineral resource, exploration status, proposed mining and processing methods.

Financial Plan:

A clear outline of the project's financial requirements, including funding needs and projected returns.

Sustainability Considerations:

Details on how the project will address environmental, social and governance (ESG) factors.

Stakeholder Engagement:

Information on how local communities and other stakeholders will be involved, impacted and benefit from the project.

 

2. Evaluation & Due Diligence

Once a proposal is received, our team conducts a comprehensive evaluation and due diligence process to assess the viability, risks and potential returns of the project.

Initial Screening: 

We conduct a preliminary review of the proposal to determine if it aligns with our investment criteria and strategic objectives.

Our technical team evaluates the geological data, resource estimates, mining and processing methods as well as environmental considerations.

Techno-Economic Analysis:

We develop the project's financial model and assess its economic viability based on revenue projections, cost estimates and return on investment (ROI).

Risk Assessment:

We identify and evaluate potential risks, including operational, financial, enviromental and regulatory risks.

ESG Review:

We assess the project's compliance with ESG standards and its potential impact on the environnment and local communities.

Site Visits and Stakeholder Engagement: 

We conduct site visits and engage with stakeholders to gain a deeper understanding of the project and its context. 

3. Decision

Based on comprehensive evaluation, our investment committee makes informed decisions on project financing and partnership opportunities:

Alignment with MDCB strategic objectives and mandate.

Technical and financial viability of the project.

Potential for sustainable returns and socio-economic impact.

Compliance with ESG standards and regulatory requirements.

If the investment is approved, we move forward with structuring the financing and finalising of terms of the agreement.  For proposals that are not approved, we may suggest modifications or alternative approaches to align the project with our investment criteria.

4. Portfolio & Asset Management

MDCB is committed to adding value beyond financing. For approved projects, we provide ongoing support and recommendations to ensure their success.

Operational Optimisation:

Recommendations for efficiency improvements, cost optimisation and productivity enhancements.

Sustainability Initiatives:

Guidance on implementing best practices for environmental management, social impact and community engagement.

Market Opportunities: 

Insights into global market trends and opportunities for value addition through our market intelligence function.

Partnerships and Collaboration:

Facilitating partnerships with investors, mining entities and other key stakeholders for downstream and upstream value adding opportunities.

Importance

Benefits of Partnering with MDCB

Transparency

Our process is clear, structured, and transparent, ensuring fairness and accountability.

Expertise

Our team brings deep technical, financial, and industry expertise to every evaluation.

Sustainability Focus

We prioritize projects that demonstrate strong ESG practices and contribute to sustainable development.

Government Alignment

As a government-owned entity, our investments are aligned with Botswana's national development goals.