Petra Diamonds has projected a significant increase in production, aiming for at least a 22% rise by fiscal year 2029, driven by expansions at its Cullinan and Finsch mines.
The company announced last week that it expects total output for fiscal 2024, ending June 30, to range between 2.7 million and 2.8 million carats.
Looking ahead, Petra anticipates production to reach between 2.8 million and 3.1 million carats next year, with further growth to between 3.4 million and 3.7 million carats by 2029.
These forecasts stem from Petra’s updated life-of-mine plans for its South African deposits. The Cullinan mine, recently approved for extension until 2048, received a $173 million investment in 2022 to extend its lifespan until 2031.
Similarly, investments of $216 million in 2020 expanded production at the Finsch mine, enabling production until 2038.
To enhance financial resilience, Petra has implemented measures aimed at reducing annual operating costs by $30 million starting in fiscal 2025.
Petra CEO Richard Duffy commented, “We have worked diligently to update our business strategy in response to ongoing market challenges, aiming to strengthen our resilience against future market and capital cycles.”
In organizational news, Johan Snyman will assume the role of Chief Financial Officer from October 1, moving up from his current position as Group Financial Controller since January. He succeeds Jacques Breytenbach, who will step down at the end of September.
