We report the occurrence of garnierite (a general term referring to Ni-Mg bearing hydrous silicates in laterites) from the crater-facies Tokapal kimberlite of the Bastar craton, Central India. Garnierite occurs as discrete ovoid or amoeboid segregations (up to 200 mm) or as veinlets with up to 18.1 wt% NiO and high iron contents (up to 36.2 wt% FeOT). Chemical composition of the garnierite implies its derivation from a magnesium-rich protolith. Extensive lateritisation of the large crater-facies (∼2.5 km diameter) saucer-shaped kimberlite under tropical weathering conditions, aided by suitable topography, drainage and favourable structural set-up, are the factors inferred to be responsible for the formation of garnierite in the Tokapal system. As lateritic nickel ores constitute significant resources for nickel exploration, the perspective of the Tokapal kimberlite as a nickel prospect needs to be investigated.