REG - Petra Diamonds Ltd - Final sales results for Tender 4 FY 2024

Petra DiamondsAnnouncement

16/02/2024 07:00

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RNS Number : 3599D  Petra Diamonds Limited  16 February 2024

 16 February 2024  LSE: PDL

 

Petra Diamonds Limited

("Petra" or "the Company")

 

Final sales results for Tender 4 FY 2024

 

The Company today announces the sales results of its fourth tender cycle of FY
2024 in which 428.9kcts were sold for US$47.8 million, a 4.0% increase in
like-for-like 1  (#_ftn1) prices compared to Tender 3 FY 2024 which closed in
December 2023.

 

These results exclude a 14.76ct exceptional colour and clarity blue gemstone
recovered from the Cullinan Mine which the Company intends to sell on a
standalone tender basis expected to close towards the end of this month.

 

Rough diamond sales results for the respective periods are set out below(1):

 

                                                   Tender 4  Tender 3  Variance  Tender 4  YTD           YTD

                                                   FY 2024   FY 2024             FY 2023   FY 2024       FY 2023

                                                   Feb-24    Dec-23              Feb-23    Tenders 1-4   Tenders 1-4

 Diamonds sold (carats)                            428,860   519,397   -17%      505,398   2,088,481     1,778,051
 Sales (US$ million)                               47.8      67.9      -30%      72.1      235.6         278.5
 Average price (US$/ct)                            112       131       -15%      143       113           157
 Revenue from Exceptional Stones(2) (US$ million)  0.0       0.0       n.a.      0.0       0.0           0.0

Note 1: Excludes all Koffiefontein sales results since it has been classified
as a discontinued operation in the Group's FY 2023 accounts.

Note 2: Exceptional Stones are defined as rough diamonds for US$15 million or
more each.

 

Sales

Total revenue YTD FY 2024 from rough diamond sales is US$235.6 million,
compared to US$278.5 million in the first four tenders of FY 2023, excluding
Koffiefontein. Year-on-year volume variances were affected by the deferral of
certain FY 2023 sale parcels sold as part of Tender 1 of FY 2024.

 

Mine by mine average prices for the respective periods are set out in the
table below:

 

 US$/carat      Tender 4  Tender 3  YTD FY 2024   YTD FY 2023   FY 2023

                FY 2024   FY 2024   Tenders 1-4   Tenders 1-4

                Feb-24    Dec-23
 Cullinan Mine  98        139       109           154           139
 Finsch         101       91        100           121           110
 Williamson     220       201       207           280           280

 

Like-for-like prices

Like-for-like rough diamond prices improved by 4.0% on Tender 3 FY 2024, with
higher prices achieved across all size categories, barring the 5 to 10.8ct
size range where prices were largely flat compared to the previous tender.
Average like-for-like prices were down 9.2% year-to-date compared to the
equivalent four tenders of FY 2023.

 

Product mix

The balance of price movements is attributable to product mix, with both
Williamson and Finsch benefiting from an improved product mix compared to the
previous tender.

 

 

For further information, please contact:

 

Investor Relations, London
               Telephone: +44 20 7494
8203

Patrick
Pittaway
 
investorrelations@petradiamonds.com
(mailto:investorrelations@petradiamonds.com)

Julia Stone

Kelsey Traynor

 

 

Financial PR (Camarco)

Gordon
Poole
Telephone: +44 20 3757 4980

Owen
Roberts
petradiamonds@camarco.co.uk (mailto:petradiamonds@camarco.co.uk)

Elfie Kent

 

 

About Petra Diamonds Limited

Petra Diamonds is a leading independent diamond mining group and a supplier of
gem quality rough diamonds to the international market. The Company's
portfolio incorporates interests in three underground mines in South Africa
(Finsch, Cullinan Mine and Koffiefontein) and one open pit mine in Tanzania
(Williamson). The Koffiefontein mine is currently on care and maintenance in
preparation of sale or closure.

 

Petra's strategy is to focus on value rather than volume production by
optimising recoveries from its high-quality asset base in order to maximise
their efficiency and profitability. The Group has a significant resource base
which supports the potential for long-life operations.

 

Petra strives to conduct all operations according to the highest ethical
standards and only operates in countries which are members of the Kimberley
Process. The Company aims to generate tangible value for each of its
stakeholders, thereby contributing to the socio-economic development of its
host countries and supporting long-term sustainable operations to the benefit
of its employees, partners and communities.

 

Petra is quoted with a premium listing on the Main Market of the London Stock
Exchange under the ticker 'PDL'. The Company's loan notes due in 2026 are
listed on the Irish Stock Exchange and admitted to trading on the Global
Exchange Market. For more information, visit www.petradiamonds.com.

 1  (#_ftnref1) Like-for-like refers to the change in realised prices between
tenders and excludes revenue from all single stones and Exceptional Stones,
while normalising for the product mix impact

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