15th Apr 2019 09:40
LONDON (Alliance News) - Petra Diamonds Ltd said Monday production in the first nine months of 2019 financial increased on the year before despite slip in third quarter production.
In the nine months to March 31, Petra's production increased 3.6% to 2.9 million carats from 2.8 million carats. This is despite production in the three month period to March-end decreasing 6.7% to 924,228 carats from 992,315 carats.
The company attributed the third quarter production decrease on lower output from its Finsch mine in South Africa, partially offset by higher production from Cullinan, Koffiefontein and Williamson. The Cullinan and Koffiefontein mines are located in South Africa, while the Williamson mine is situated in Tanzania.
Petra maintained its full year guidance of 3.8 million to 4.0 million carats.
"I am pleased with the incremental improvement in operational performance at Cullinan, Koffiefontein and Williamson and despite a challenging January, Finsch's performance through February and March is as expected. Our focus remains on the delivery of free cash flow to reduce our net debt and generate future options for the company," said Chief Executive Richard Duffy.
At March 31, Petra's net debt decreased to USD553.1 million compared to USD559.3 million at D3ecember 31.
The diamond miner's revenue for the first nine months is up 1.5% to USD342.4 million, from 2.8 million carats sold, compared to USD337.4 million from 2.6 million carats sold for the corresponding period before.
In the third quarter, Petra's revenue decreased 7.2% to USD135.2 million, from 1.1 million carats sold, compared to USD145.7 million from 1.1 million carats sold the year before.
The rough diamond prices in the third quarter were up about 1% on a like-for-like basis compared to the prices in the first half.
Shares in Petra Diamonds were down 0.9% Monday at 17.00 pence each.
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