Petra Diamonds Potential exit of Petra's investment in Koffiefontein

 
TIDMPDL 
 
26 April 2022                                                            LSE: PDL 
 
                            Petra Diamonds Limited 
 
             Potential exit of Petra's investment in Koffiefontein 
 
Petra Diamonds Limited ("Petra", the "Company" or the "Group") announces that, 
in conjunction with its Black Economic Empowerment (BEE) partners, Kago 
Diamonds (Pty) Ltd and Itumeleng Petra Diamonds Employee Trust (IPDET), it is 
exploring a responsible exit from its investment in the Koffiefontein diamond 
mining operations in South Africa. 
 
Following the conclusion of the Business Re-engineering project, which Petra 
announced in its interim results, Petra has updated its plan for the 
Koffiefontein mine, which has a current mine plan to FY 2025. A process of 
right-sizing the operation, which is likely to involve a reduction in employee 
headcount under Section 189A of the Labour Relations Act, 66 of 1995, has 
commenced. This process aims to provide for sustainable operations at 
Koffiefontein until the end of Petra's mine plan. 
 
Given the gross resource base of c. 5.25 million carats as at 30 June 2021, 
including c. 1.11 million carats in the indicated resource category associated 
with underground resources, it may be feasible for another owner to extend the 
mine's life. The focus of this disposal process will be to identify a 
technically and financially suitable buyer that could potentially unlock 
further value from Koffiefontein. 
 
In the event that a suitable buyer is not identified through this process, 
Petra remains committed to operate the mine responsibly in accordance with its 
current life of mine plan before proceeding with a decommissioning, 
rehabilitation and closure programme. 
 
It should be noted that the disposal process will run in parallel to the 
Section 189A process currently underway and does not in any way impact or alter 
it, and vice versa. 
 
Petra has appointed Questco Corporate Advisory ("Questco") to manage the 
disposal process on its behalf. All parties interested in participating in the 
disposal process are invited to contact Questco to register their interest. 
 
The closing date for registering an interest with Questco is 09 May 2022 and 
the contact details are: 
 
  * Ciska Kloppers +27 82 303 4826 
  * Kaveshan Subramanian +27 73 201 4359 
  * projectoasis@questco.co.za 
 
ABOUT PETRA DIAMONDS 
 
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 producing mines in South Africa 
(Finsch, Cullinan and Koffiefontein) and one open pit mine in Tanzania 
(Williamson). 
 
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 
of ca. 230 million carats, 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 US$336.7 million 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. 
 
FURTHER INFORMATION 
 
Please contact 
 
Petra Diamonds, London 
Telephone: +44 207494 8203 
Jill Sherratt 
 
investorrelations@petradiamonds.com 
Julia Stone 
 
 
 
END
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