Petra Diamonds reports highest production in its history
Petra Diamonds has announced its revenue in Q1 was up 55% to $100.8m (£62.3m).
The results also included the sale of an 85% interest in its 122ct Cullinan blue diamond for $23.5m (£14.5m), discovered earlier this year.
The results, which covered production and sales from July 1 to September 30 2014, found that production was up 2% to 833,744 carats, the highest quarterly production in the company’s history.
On the back of the strong production and financial results, Petra’s lender group has agreed to increase the group’s overall financing facilities, at reduced lending rates, by the equivalent of $40.4m (£25m) to $260m (£161.3m).
Carats sold were down 10%, however this was due to an earlier cut-off for the first tender cycle of the financial year and the resultant increase in inventory (622,910 carats versus 483,557 carats as at 30 September 2013), which the company aims to sell in Q2.
CEO Johan Dippenaar said: “These results demonstrate a strong performance for the Group, with record Q1 production and sales. It is particularly pleasing to see the meaningful contribution from the smaller mines, Koffiefontein, Kimberley Underground and Williamson, as each of these operations have been ramping up output successfully.
“Our major expansion plans at Finsch and Cullinan are progressing as planned, with the targeted output of 3.2 million carats for FY 2015 and ca. 5 million carats for FY 2019 firmly on track.”
Post Q1, the 232 carat Cullinan white diamond sold for $15.2m (£9.4m) on October 24.
