News

Advanced Search

Troubles at Finsch Mine Hit Petra Output

Apr 15, 2019 8:16 AM   By Rapaport News
Comment Comment Email Email Print Print Facebook Facebook Twitter Twitter Share Share


RAPAPORT...
 Production at Petra Diamonds fell in the third fiscal quarter due to operational challenges at its Finsch mine in South Africa, it said Monday.

Output for the three months ending March 31 dropped 7% to 924,228 carats. Production at Finsch plunged 30% to 387,370 carats, 55,000 carats below the miner’s expectation. The majority of the shortfall was due to equipment problems at the deposit in January, the miner noted. Lower-grade ore was also a factor.

Production at Cullinan increased 22% to 432,001 carats, while Koffiefontein jumped 42% to 17,355 carats. Output at Petra’s Williamson asset climbed 21% to 87,503 carats.

Revenue for the third quarter slipped 7% to $135.2 million from two tenders, while sales volume dropped 6% to 1.1 million carats. The average price at Cullinan rose 5% to $101 per carat, rebounding from $96 in the second quarter. Prices have averaged $140 per carat over the past nine and a half years.

Production for the first nine months of the fiscal year grew 4% to 2.9 million carats, while revenue for the period rose 1% to $342.4 million.

The company’s net debt decreased to $553.1 million as of March 31, compared to $559.3 on December 31.

By the end of June, the company plans to sell a 425.1-carat, D-color, type II diamond that it recovered in March. Petra will hold two more tenders during the fiscal year, which ends June 30, it said.

The company maintained its production forecast of 3.8 million to 4 million carats for the fiscal year, versus the 4.6 million carats it recovered in fiscal 2018.

Image: The Finsch mine. (Petra Diamonds)
Tags: Cullinan, Finsch, Finsch mine, Koffiefontein, Petra Diamonds, Rapaport News, Williamson
Similar Articles
Rio TintoRio Tinto Output Falls Amid Lower Grades
Oct 17, 2019
Lower mining grades and reduced ore availability contributed to a drop in Rio Tinto’s third-quarter diamond production,
AlrosaAlrosa Finds Diamond Inside a Diamond
Oct 06, 2019
Alrosa has recovered an unusual piece of rough featuring one diamond encased inside another, in a style similar
Comments: (0)  Add comment Add Comment
Arrange Comments Last to First
© Copyright 1978-2019 by Martin Rapaport. All rights reserved. Index®, RapNet®, Rapaport®, PriceGrid™, Diamonds.Net™, and JNS®; are TradeMarks of Martin Rapaport.
While the information presented is from sources we believe reliable, we do not guarantee the accuracy or validity of any information presented by Rapaport or the views expressed by users of our internet service.