Petra Diamonds’ diamond production decreased 21% to 1.4 million carats (Mcts) in the first half of the fiscal year 2023 due to lower grades at the Cullinan Mine, lower tonnes mined at Finsch and production suspensions at Williamson and Koffiefontein mines.

It said production guidance for FY 2023 and FY 2024 was revised downwards from 3.3 to 3.6 Mcts for each of these years to about 2.8 Mcts for FY 2023, increasing to 3.0 to 3.3 Mcts for FY 2024.

The adjustment incorporates the impact of production curtailment at Williamson in FY 2023 of about 200 000 cts, cessation of production at Koffiefontein during H1 FY 2023 of 40 000 carats per year for both FY 2023 and FY 2024, lower H1 FY 2023 production at Finsch compared to earlier guidance of 85 000 carats.

It also includes a restated grade forecast for the Cullinan Mine for FY 2023 and FY 2024 given accelerated waste ingress of 200 000 cts per year for each of the two years.

Petra said its revenue for the period under review amounted to $212.1 million compared to $264.7 million, a year earlier.

Revenue includes $1.4 million from Petra’s 50% share in the profit from the sale of polished stones cut from the 342.92-carat rough white diamond sold into a partnership for $10 million in August 2021.

Meanwhile, Petra’s Gross debt decreased to $241.7 million as of 31 December 2022 compared to $366.2 million in June 2022.

The drop reflects the successful tender offer to repurchase second-lien notes.