Petra Diamonds produced 2.67 million carats in the financial year (FY) 2023, compared to 3.35 million carats in FY 2022.
The output was marginally below previous guidance of between 2.75 million and 2.85 million carats.
Petra said its fourth-quarter output fell 5% to 620,018 carats from the previous quarter due to lower grades at Cullinan Mine and Finsch in South Africa, with remediation steps now implemented at both mines.
“Mitigating steps have been successfully implemented to address grade issues experienced at Cullinan Mine and Finsch in the final quarter that resulted in FY 2023 production coming in marginally below guidance,” said company chief executive Richard Duffy.
“Grades at both operations have now reverted to planned levels.”
Petra said Williamson's start-up commenced this month ahead of schedule, with a steady ramp-up anticipated to achieve FY 2024 production guidance.
It is also planning the detailed closure of the Koffiefontein Mine.
Meanwhile, the miner said its FY 2023 sales eased to $328.4 million, compared to $584.1 million in FY 2022.
The miner deferred sales due to a temporary slowdown in demand for rough diamonds, which saw its diamond inventory increase to 715 200 carats worth $65.9 million on June 30, 2023, compared to 381 700 carats valued at $40.2 million, a year earlier.
“We continue to expect a supportive diamond market in the medium to longer term as a result of the structural supply deficit, which will benefit our strong growth profile," said Duffy.
Mathew Nyaungwa, Editor in Chief of the African Bureau, Rough&Polished
