Petra Diamonds Ltd - Company update and appointment of Chief Financial Officer
27 June 2024 LSE: PDL
( Petra , the Company or the Group )
Company update and appointment of Chief Financial Officer
Petra will be hosting an Investor Day in
This will include an overview of revised Life-of-Mine (LOM) plans for
https://www.petradiamonds.com/investors/results-reports-presentations/ .
The event is being hosted in person and online, with details below.
“We have worked hard to deliver an updated business profile in response to ongoing market challenges and to further enhance our resilience to future market and capital cycles. We are pleased to present a de-risked production profile focused on sustainable cash generation, having reduced costs by
We also announce today the appointment of
Highlights include:
-- Sustainable reduction in operating costs ofUS$30m per annum from FY 2025 -- Total capital (development and sustaining capital) profile smoothed to c.US$100m per annum at Petra’s South African operations to target free cash generation through the cycle -- Approved extension projects expected to be self-funded -- Production growth to over 3.4 Mcts expected by FY 2028 -- Cullinan Mine LOM potential to FY 2048 with new shaft for D-Cut not required before 2035 (subject to further studies) -- Finsch LOM potential to FY 2038
CFO Succession
Petra is also pleased to announce the appointment of
Debt Optimisation, Group Guidance & Pricing Assumptions
Petra also announces that, as part of our focus on debt optimisation, we have further reduced our 2L Notes through open market purchases totalling
Group guidance for FY 2025 to 2029, indicative estimates of FY 2024 performance and pricing assumptions for FY 2025 are set out below.
Group guidance for FY 2025 to 2029
_______________________________________________________________________ | |Unit|FY25 |FY26 |FY27 |FY28 |FY29 | |__________________________|____|_______|_______|_______|_______|_______| |Total carats recovered |Mcts|2.8-3.1|2.9-3.3|3.1-3.5|3.4-3.7|3.4-3.7| |__________________________|____|_______|_______|_______|_______|_______| |Cash on-mine costs and G&A|US$m|241-257|241-257|227-242|239-255|251-266| |__________________________|____|_______|_______|_______|_______|_______| |Extension capex |US$m|62-67 |86-93 |78-84 |81-88 |41-44 | |__________________________|____|_______|_______|_______|_______|_______| |Sustaining capex |US$m|26-30 |25-28 |21-23 |22-25 |23-25 | |__________________________|____|_______|_______|_______|_______|_______|
Notes: Guidance for FY 2026 to 2029 is subject to the Board’s approval of future budgets
Real amounts stated in FY 2025 money terms using 6% SA CPI & 2.5% US CPI. US$ equivalent for SA operations converted at exchange rate of USD1:
Detailed mine-by-mine guidance for FY 2025 to 2029 will be included in the presentation to be published on our website
Indicative estimates of FY 2024 performance
___________________________________________ | |Unit|FY2024e | |__________________________|____|___________| |Total carats recovered |Mcts|2.74 – 2.78| |__________________________|____|___________| |Cash on-mine costs and G&A|US$m|261-269 | |__________________________|____|___________| |Extension capex |US$m|56-57 | |__________________________|____|___________| |Sustaining capex |US$m|29-30 | |__________________________|____|___________|
Pricing assumptions for FY 2025
_____________________ |US$ per carat|FY 2025| |_____________|_______| |Cullinan Mine|125-135| |_____________|_______| |Finsch |98-105 | |_____________|_______| |Williamson |200-225| |_____________|_______|
Future diamond prices are influenced by a range of factors outside of Petra’s control and so these assumptions are internal estimates only. Accordingly, no reliance should be placed on them. The Company assumes no responsibility to update these market pricing assumptions.
This announcement includes inside information as defined in Article 7 of the Market Abuse Regulation No. 596/2014 and is being released on behalf of Petra by the Company Secretary.
INVESTOR DAY PRESENTATION DETAILS
Investor Day in person event to be held at:
One
Live webcast of presentation
Please register at https://brrmedia.news/PDL_ID24
If you have any questions, please call +44 7841 920021 or email: investorrelations@petradiamonds.com .
Recording of presentation
A recording of the webcast will be available later today on Petra’s website at https://www.petradiamonds.com/investors/results-reports-presentations/
FURTHER INFORMATION
For further information please contact:
Investor Relations,
ABOUT PETRA DIAMONDS
P
etra 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 mines in
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
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