(Alliance News) - Petra Diamonds Ltd announced on Tuesday that revenue and production rose in the first half of its financial year, crediting a strong market and the resumption of production at its Williamson mine.
For the six months that ended December 31, the Jersey, UK-based diamond mining company with interests in South Africa and Tanzania said revenue was up 49% in its first half, rising to USD264.7 million from USD178.1 million in the same period the previous year.
Petra explained that first half revenue also benefited from realised diamond prices on a like-for-like basis being up 16% compared to the preceding six-month period to June 30.
Production rose by 2.1% to 1.78 million carats from 1.74 million a year before. Petra Diamonds cited its Williamson mine in Tanzania resuming production after a period of maintenance for the increase.
The company's lost time injury frequency rate was down 64% to 0.18 from 0.50 the prior year.
Net debt at December 31 was USD153.6 million, down from USD201.4 million at September 30.
Looking forward, Petra Diamonds said full-year gross production guidance remains unchanged at a range of 3.3 million to 3.6 million carats. Gross capital expenditure is expected to come in towards the lower end of earlier guidance of USD78 million to USD92 million.
Petra Diamonds expects to release its interim results for its first half on February 22.
Chief Executive Richard Duffy said: "This strong operating performance, together with proceeds from the sale of exceptional stones supported by a strong market delivering ongoing price increases, has raised profitability, further strengthened our balance sheet and improved our cash position, which sets us up well for the second half of financial 2022 and beyond.â€
By Heather Rydings; heatherrydings@alliancenews.com
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Petra Diamonds (PDL)