Petra Posts Loss, Puts Trust in Mid- to Long-Term Market
September 24, 12 by IDEX Online Staff Reporter
(IDEX Online News) – Diamond miner Petra posted a 44 percent increase in revenue, rising to $316.9 million in the fiscal year ended June 30, 2012. Inline with this improvement, profit from mining activity increased 35 percent to $103.3 million.
Despite the good results, Petra posted a net loss of $2.1 million, compared to the $59.2 million profit is posted in the previous year.
The bottom line was affected by unrealized foreign exchange losses of $38.6 million and non-recurring transaction costs of $3.1 million, Petra said in a release.
Petra nearly doubled it production in the last year, up 98 percent to 2,208,862 carats.
In its outlook the miner said that while the rough diamond market remains under pressure as the current economic uncertainty continues, Petra believes the medium to long-term outlook remains positive due to the strong supply/demand fundamentals
“2012 has seen Petra further consolidate its position as London’s largest listed diamond mining group. The successful acquisition and integration of Finsch, the step up from AIM to the Main Market of the London Stock Exchange, and the delivery on production targets all demonstrate Petra’s progression to the next stage of its development," said CEO Johan Dippenaar.
“Though the rough diamond market continues to experience volatility, Petra has been encouraged by its trading results in these difficult markets. In view of the declining medium and long term supply of rough diamonds, combined with the advancement of our development programs to increase production to 5 million carats in FY 2019, Petra is poised to continue its rapid development as a market leading diamond mining company.”
Petra's Finsch mine in South Africa |
