12th Jun 2015 06:52
LONDON (Alliance News) - Petra Diamonds Ltd Friday said it expects to report lower revenue when it next reports annual results, as average prices for selling its diamonds have come under pressure.
The diamond producer said that a "lower incidence" of high quality stones, together with higher volumes of smaller diamonds, has put pressure on the average prices it has attracted for its gems. The company expects revenue for the year ending June 30 to amount to about USD430 million, compared with USD471.8 million in the year that ended June 30, 2014.
Petra Diamonds' production target of about 3.2 million carats for the year ending June 30 remains intact.
The company said it will be less reliant on production from heavily diluted ore over the course of its next financial year, as production from "less diluted areas and from new mining areas providing access to undiluted ore and a reduction in waste development tonnes".
The company said its expansion programmes remain on time at its flagship operations, putting it on target to reach its longer-term annual target of about 5 million carats by the 2019 financial year.
By Samuel Agini; [email protected]; @samuelagini
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