Petra Diamonds Sales results for Tender 3 FY 2023

 
TIDMPDL 
 
FOR IMMEDIATE RELEASE 
 
13 December 2022                                                           LSE: PDL 
 
                      Sales results for Tender 3 FY 2023 
 
    Petra achieves US$42.3 million in sales in its third tender for FY 2023 
 
Richard Duffy, Chief Executive Officer of Petra Diamonds (Petra), said: 
 
"Petra's third tender for FY 2023 saw a 2.2% increase in like-for-like[1] 
prices on Tender 2 FY 2023, reversing the downward trend observed in the 
previous two tenders. Although it is still too early to speculate on whether 
rough diamond prices have bottomed out, we are very satisfied with the overall 
result. Prices in the 2ct to 10ct size ranges saw an upward movement in 
contrast to the recent negative trends, partly ascribed to improving 
expectations for the current festive season and potentially reflecting signals 
from the Chinese authorities with respect to an easing of lockdown 
restrictions. Prices in smaller size ranges saw improved pricing which more 
than offset softer pricing in the 0.75ct to 2ct ranges. 
 
We continue to expect a supportive diamond market in the medium to longer term 
as a result of the structural supply deficit and see current levels of demand 
continuing into the New Year, albeit with the potential for further upside from 
any easing of lockdown restrictions in China." 
 
Petra announces the results of Tender 3 of FY 2023, at which 305,366 carats 
were sold for a total of US$42.3 million across Petra's mining operations. 
 
Rough diamond sales results for the respective periods are set out below: 
 
                Tender 3  Tender 2  Variance  Tender 3   YTD FY 2023   YTD FY 2022 
                  FY23      FY23     T2 FY23    FY22    after Tenders after Tenders 
                 Dec-22    Oct /       vs      Dec-21        1-3           1-3 
                           Nov-22    T3 FY23 
 
Diamonds sold   305,366   447,276     -32%     885,136    1,272,653     1,595,848 
(carats) 
 
Sales (US$        42.3      61.3      -31%      128.3       206.4         264.7 
million) 
 
Average price     138       137        +1%       145         162           166 
(US$/ct) 
 
Revenue from       -         -          -       27.7          -            77.9 
Exceptional 
Stones[2] (US$ 
million) 
 
Sales 
 
The results of Tender 3 bring FY 2023 YTD revenue from rough diamond sales to 
US$206.4 million, with no Exceptional Stone sales, compared to US$264.7 million 
in the first three tenders of FY 2022, which included a US$77.9 million 
contribution from Exceptional Stones. The lower volume sold in Tender 3 
relative to the equivalent tender in FY 2022 was largely driven by the earlier 
cut-off date for the current cycle. 
 
Mine by mine average prices for the respective periods are set out in the table 
below: 
 
US$/carat       Tender 3    Tender 2     Tender 3   YTD FY 2023   YTD FY    FY 2022 
                  FY23        FY23         FY22        after       2022    12 months 
                 Dec-22       Oct /       Dec-21    Tenders 1-3   after        to 
                             Nov-22                              Tenders    30 June 
                                                                   1-3        2022 
 
Cullinan Mine     116          113         1421         154        1921       1691 
 
Finsch            107          118          96          121         97        118 
 
Williamson        266          272         7601         280        7601       3841 
 
Koffiefontein     371          639         520          450        538        581 
 
Note 1: Prices for both Cullinan Mine and Williamson include proceeds from the 
sale of a number of Exceptional Stones. 
 
Like-for like prices 
 
Whilst like-for-like rough diamond prices improved by 2.2% on Tender 2 FY 2023, 
they increased 7.4% compared to Tender 2 of FY 2022, with YTD prices up 12.7% 
compared to the comparable three tenders of FY 2022. Prices across all size 
ranges were generally up against the previous tender with the exception of the 
0.75ct to 2ct stones which saw a marginal decline in prices. 
 
Product mix 
 
The balance of price movements are attributable to product mix, resulting in a 
slight increase at Cullinan while both Finsch and Williamson saw downward price 
movements. The Williamson parcel consisted of all diamonds produced in the 
period leading up to the Tailings Storage Facility failure announced on 7 
November 2022. 
 
For further information, please contact: 
 
Petra Diamonds, London                 Telephone: +44 20 7494 
8203 
 
Patrick Pittaway 
investorrelations@petradiamonds.com 
 
Julia Stone 
 
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 producing mines in South Africa 
(Finsch, Cullinan Mine 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 
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] 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 
 
[2] Petra classifies "Exceptional Stones" as rough diamonds which sell for US$5 
million or more each 
 
 
 
END
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