Petra Diamonds said its fourth tender cycle of FY 2024 demonstrated robust growth in the market, selling 428,860 carats for $47.8 million, marking a 4.0% increase in like-for-like prices compared to Tender 3 FY 2024, which concluded in December 2023.
Excluding a remarkable 14.76-carat blue gemstone recovered from the Cullinan Mine, which will be sold separately towards the end of this month, the sales results underscore Petra’s resilience and success in navigating the diamond market.
In the latest tender, the Cullinan Mine achieved an average price of $98 per carat, reflecting a decline from the previous tender’s $139 per carat. The Finsch mine recorded an increase in its average price from $91 to $101 per carat. Meanwhile, the Williamson mine experienced a slight decrease in its average price, from $201 to $220 per carat.
The total year-to-date revenue (YTD) FY 2024 from rough diamond sales amounts to $235.6 million, down 15% compared to $278.5 million in the first four tenders of FY 2023, excluding Koffiefontein.
Like-for-like rough diamond prices improved by 4% compared to Tender 3 FY 2024, with higher prices achieved across all size categories, except for the 5 to 10.8-carat range, where prices remained relatively stable compared to the previous tender. However, average like-for-like prices were down 9.2% year-to-date compared to the equivalent four tenders of FY 2023.
The balance of price movements is attributed to product mix, with both Williamson and Finsch benefiting from an improved product mix compared to the previous tender. Petra Diamonds remains optimistic about its future prospects in the diamond market despite ongoing challenges and fluctuations.
Disclaimer: This information has been collected through secondary research and TJM Media Pvt Ltd. is not responsible for any errors in the same.
