LSE-listed diamond miner Petra Diamonds‘ recent diamond tender for H1, FY 2016 (1 July to 31 December 2015), saw 606 080 carats sold for US$86.2 million in revenues which was “flat” when compared to its first FY 2016 tender.
The sale included the 23.16 carat pink stone from Williamson for $10.05 million as well as the unsold parcels from the company’s first tender.
All goods were sold, with the exception of ca. 3 200 carats with an estimated value of around $166 000.
Although pricing was flat, the expected improvement in product mix favourably impacted the average value per carat achieved for each of the company’s operations.
Improvements expected in the second half
Petra has guided for an improved product mix in FY 2016 due to the shift from the old diluted mining blocks at its underground mines in South Africa to the new undiluted mining blocks, as well as a lesser reliance on production from the Group’s lower value tailings resources.
The first significant input of undiluted ore is on track to contribute to the Group’s production profile from H2, FY 2016 (1 January to 30 June 2016) onwards.