Petra Diamonds eyes more exposure to SA operations

Petra Diamonds, which recorded an increase in production and sales during the third quarter of its financial year 2012 said that it will increase its exposure to South African operations by buying a 49,24 percent in its main black economic empowerment partner, Sedibeng Mining, by the end of June.
The miner owns Finsch Mine, Cullinan Mine, Koffiefontein Mine, Kimberley Mine and three fissure mines in South Africa.
It also owns the Williamson mine ‎in Tanzania.
‎Petra said that it had also undertaken expansion projects at Cullinan, Finsch, Koffiefontein and Kimberley, adding that it was now expecting to achieve production of 2 million carats for the full fiscal ‎year that ends on June 30.
The diamond producer said it was also revisiting the longer-term 10 Mtpa expansion project at Williamson.
“This project will be dependent upon a secure electricity supply, appropriate for the 10 Mtpa plant, and treatment results of main pit material following a six to nine month period of production utilising the rebuilt plant processing facility,” it said.
The mine had undergone a restructuring and new development in the two years since Petra bought it from De Beers.
It contributed about 19000 carats diamonds to the group from the newly commissioned main pit for the first time in the March quarter.
Meanwhile, Petra said that positive drilling and microdiamond results continued from kimberlite KX36, in Botswana with initial indications of a potentially high grade (between 75 and 180 cpht) and a relatively coarse diamond size distribution.
It said the large diameter (24 inch) drilling and bulk sampling campaign had also commenced.

Mathew Nyaungwa, Editor in Chief of the African Bureau, Rough&Polished