Petra Taking Over Angola’s Alto Cuilo and Luangue from BHP

Mining giant BHP Billiton is to transfer its interests in the Alto Cuilo and Luangue diamond exploration projects in Angola to joint venture partner Petra Diamonds.

It is currently unclear why BHP decided to relinquish control of the two projects. Petra said it will ”significantly accelerate the test and drilling programs.”

“We see the projects, and this region of Angola particularly, as an important new source of diamonds and we intend to use our proven expertise to further unlock the value of our assets for long term shareholder value,” Petra Chairman Adonis Poroulis said.

Petra added in a release Tuesday that the latest tenders of diamonds from Koffiefontein and the fissure mines in South Africa have fetched an average of $484 per carat in the first four months of 2008, an 18.6 percent increase compared to the second half of 2007.

The March and April tenders fetched $524 and $526 per carat respectively.