Business
Koffiefontein Update
Koffiefontein Update.
About this update from Petra Diamonds Limited
[{"type":"text","content":"\n Petra Diamonds Ld\n29 June 2007\n\n Petra Diamonds Limited\n\n Koffiefontein - Update\n\n\nPetra Diamonds Limited ('Petra' or 'the Group') announces an update with regards\nto the Koffiefontein mine and associated assets ('Koffiefontein').\n\nThe acquisition of Koffiefontein from De Beers Consolidated Mines Limited ('De\nBeers') is expected to be completed shortly. As previously announced, Petra has\nalready been granted a mining licence in respect of the mine and the acquisition\nfrom De Beers has received approval from the South African Competition\nCommission.\n\nPetra has, with permission from the South African Department of Minerals and\nEnergy ('DME'), been maintaining the cave and drawing the corresponding ore at\nKoffiefontein since July 2006. The preparatory work that Petra has been able to\nundertake at Koffiefontein over recent months, together with the drawing of ore\nas part of the care and maintenance process, means that the mine will, when the\nacquisition completes, be able to immediately commence full production and the\nstockpiled ore processed through the plant.\n\nOver recent weeks, some of this stockpiled ore has been processed through the\nplant to test changes made to the plant by Petra. Although these test results\nare relatively early stage and no sales of diamonds have been made by Petra (as\nare not allowed until the acquisition from De Beers is complete), initial\nindications are that assumptions applied by Petra in its modeling in respect of\nboth grade and value per carat at Koffiefontein will be comfortably met, and\nperhaps even exceeded.\n\nAdonis Pouroulis, Chairman of Petra, commented 'The addition of the\nKoffiefontein mine to Petra's South African portfolio, with anticipated\nproduction of around 100,000 carats a year, will significantly increase Group\nproduction, as well as increase the average price per carat received across the\nGroup and significantly enhance Group revenues.'\n\n'On behalf of Petra, I would again like to thank both the DME and De Beers for\ntheir efforts and support in completing the acquisition of Koffiefontein by\nPetra and we look forward to returning the mine to production, an important\ndevelopment for the local Koffiefontein community and all other related parties.\n'\n\n\n\n\n\nNotes\n\n1. The information in this update that relates to Exploration Results, Mine...