Petra Diamonds Ld
19 February 2008
19 February 2008 AIM: PDL
Petra Diamonds Limited
Cullinan Diamond Mine - Competition Commission Approval
Petra Diamonds Limited ('Petra') announces that the South African Competition
Commission has approved the acquisition of the Cullinan Diamond Mine by the
Petra Diamonds Cullinan Consortium ('PDCC') from De Beers Consolidated Mines
Limited ('De Beers').
On 22 November 2007 Petra, as a member of the PDCC, entered into an agreement
with De Beers to acquire Cullinan. It was a condition of the acquisition that
Competition Commission Authority approval be granted.
Completion of the acquisition of Cullinan is now conditional upon the following
remaining conditions:
(i) Ministerial consent to the cession to PDCC of the new order mining
right in respect of Cullinan;
(ii) the DME consenting to the cession, transfer and delegation of the
rehabilitation obligations and liabilities in respect of Cullinan from
De Beers to PDCC; and
(iii) regulatory and other approvals as may be required.
As stated within our announcement of 22 November, it is expected that the
remaining conditions will be met between May and July 2008.
A further announcement will follow in due course, which will include a resource
statement for Cullinan, in accordance with the AIM Guidance for Mining
companies, when the new order mining right is transferred to PDCC.
Ends
For further information, please contact:
Cathy Malins Tel: +44 (0) 20 7493 7671
Petra Diamonds, London
Louise Goodeve / Justine Howarth Tel: +44 (0) 20 7851 7480
Parkgreen Communications, London
Adrian Hadden / Piers Coombs Tel: +44 (0) 20 7523 8000
Collins Stewart, London
www.petradiamonds.com
About Petra Diamonds
Petra Diamonds is a pan-African diamond mining group with a balanced portfolio
combining major producing mines, world class exploration assets and a cutting
and polishing business.
With operations in South Africa, Angola, Botswana and Sierra Leone, Petra's
objective remains to develop its stature as a leading diamond producer in all of
the countries in which it operates. In South Africa, Petra has four producing
mines and recently reached agreements to acquire a further two mines from De
Beers (Cullinan and Kimberley Underground). The Company is on track to increase
its annual production from 180,000 carats in the year to June 2007 to over
400,000 carats in the year to June 2009 and is targeting annual production of
over 1 million carats thereafter.
Complementing the Group's production is an exploration and development portfolio
spread across some of the world's most prospective diamond fields. In Angola,
Petra is developing its world class Alto Cuilo and neighbouring Luangue projects
in two separate joint ventures with BHP Billiton. In Botswana, Petra has
established the largest exploration holding in the country, where it believes
that modern exploration techniques will hold the key to the discovery of new,
major kimberlites. In Sierra Leone, Petra is developing a fissure operation and
test work to date indicates the potential for economic operations.
The Petra group now employs some 3,000 people in Africa and over the last 10
years, the Company has developed a range of social initiatives which continue to
make a meaningful impact upon the lives of employees and surrounding
communities. Petra's focus remains upon sustainable development, via
educational programmes and skills transfer, to ensure a broad based approach
with a lasting legacy, and all operations are carried out with the highest
regard for the environment according to best practice.
For further information, please visit www.petradiamonds.com
This information is provided by RNS
The company news service from the London Stock Exchange