Its getting there......

R88AVE

You have not yet had an answer to your question but the climb still continues! I would also like to know any relevant news driving the SP.

On another point, PDL has signalled its intention to de-list from ASX, RNS 7th Dec. As far as I am concerned this is particularly bad news since my holding is in an ISA wrapper so will be forced to sell when this happens. How long does the taxman allow for a sale to take place after a de-listing?

Ray

I have jumped on board at 145p, in which I wish i should have done back in October! You should check out the price risk factor. Its is still low around 70 plus despite the fact the sp has risen quite considerable amount in the past few weeks. I also liked the fact that the that have commenced their bulk testing last October and the results are due any moment now. Hence maybe thats why there been a lot of big trades going through at full asking price, something must be looking good.
Personally I dont see the delisting of share from ASX is bad thing at all. It will save the company money. I would consider you to spent a bit more in your research.

Also This is probably the reason why the investor are getting excited with the Angola project:

http://www.mineweb.net/junior_mining/521316.htm

Ray

Also found interesting article!

http://www.miningweekly.co.za/min/news/today/?show=91403

R88AVE,

Thanks! Looks most promising although Maxwell is playing it cool. Nothing formal yet but would look to PDL for RNS soon to explain SP rise.

I would agree with you in principle regarding ASX de-listing, it is just personal since PDL was one of only a few AIM stocks that can be held in an ISA. About time Gordon Brown removed the restriction on AIM, particularly with so many companies moving there from the main list.

Ray are still holding rns out re Angola project looks very positive

http://moneyam.uk-wire.com/cgi-bin/articles/200612201309113464O.html

Found this article from Mineweb which gives a rather bullish review for PDL IMO;

LONDON (Mineweb.com) --Petra Diamonds, the company that is fast establishing itself as a mid-tier diamond producer, has announced that it has, via its wholly-owned subsidiary Blue Diamond Mines (Pty) Ltd. (BDM), agreed with De Beers to acquire the Koffiefontein mine. BDM has applied to the South African Department on Minerals and Energy for a mining right in respect of Koffiefontein.

De Beers had ceased mining at Koffiefontein at the end of 2005, when its old order mining right expired. BDM expects to commence production from the mine in early 2007, once all the necessary regulatory approvals have been met.

Petra Diamonds is listed on both AIM and the ASX (ticker symbol PDL, market capitalisation approximately 203 million or US$398 million) and the companys diamond production in the fiscal year to end-June 2006 was 175,000 carats from three mines in South Africa (the Helam, the Hedibeng and the Star) to give a revenue of US$20.8 million (implying an average of US$119 per carat). Each of these three mines has a remaining life of over 15 years, off a resource, on a ten year view, of four million carats. Production from these three mines is expected to grow to 300,000 carats by 2010.

Koffiefontein was established in 1870. The mine exploitation method is both underground and open cast and production in 2005 was 123,505 carats recovered at a grade of 6.8 carats per hundred tonnes. If BDM can re-establish this at a similar level then clearly its South African production profile will be substantially enhanced. The acquisition, the consideration of which is R81.9 million (5.98 million or US$11.7 million) as the company assumes the De Beers rehabilitation obligations at the mine, plus a cash payment to De Beers of R1.9 million (138,700 or US$271,000) and will be met from Petras existing cash resources.

Meanwhile, as well as an active exploration programme, notably at Alto Cuilo in Angola, Petra is moving downstream. In late November 2006 the company announced the acquisition of 100% of the company Calibrated Diamonds, for an initial consideration of US$2.8 million in cash, with a deferred consideration payable dependent on production and results. Calibrated Diamonds is focused on cutting and polishing diamonds and this acquisition makes Petra the first fully-integrated mid-tier diamond mining group on AIM. Petra estimates that approximately 50% of added value is accrued by virtue of the polishing process; on the basis that fiscal 2006 revenue was US$20.8 million, the implication is clear.

Upstream, exploration continues at Alto Cuilo in joint venture with BHP Billiton. Under the programme, BHP Billiton can earn a 75% share of the joint venture via the expenditure of US$60 million and as of 30th September 2006 BHP Billiton had funded US$28.2 million. The budget to June 2007 is for a further US$20 million and Petra notes that this is one of the highest joint venture expenditure programmes in BHP Billitons portfolio. Some 70 targets have been drilled on with 62 kimberlites identified. The surface area thereof exceeds 1,400 hectares. This compares with Jwaneng in Botswana at 45.5 hectares and Orapa at 111 hectares.

The company reports that there is a highly encouraging mantle geotherm along with diamond indicator mineral chemistry. Bulk sampling has started and the first results are expected early in 2007. The average value from a 310 carat sample previously recovered was a healthy US$295/carat.

Meanwhile Petra is also in strategic cooperation with Xceldiam Ltd on Project Luangue (also in Angola) and Project Alto Cuilo. At Luangue, which the company believes may host kimberlite geology similar to that of Alto Cuilo (with which it is contiguous), over 70 kimberlitic anomalies have been identified and the first drill hole (in July 2006) intersected kimberlite. It is the area within 20 kilometres either side of the order between the two properties that is the focus of the alliances exploration activities. The two companies will share information and cooperate on technical, operational and other related matters, thus resulting in significant reduction in the necessary cost and time for the programme. As part of the agreement, Petra has been granted cooperation warrants to acquire up to 26% of Xceldiams wholly-owned subsidiary Frannor Investment and Finance Limited (which holds Xceldiams interest in Project Luangue) along with a right of first refusal to participate in any transaction concerning Xceldiams interest in Frannor.

In Botswana, which Petra describes as the worlds number one address for diamonds, the Kalahari Diamonds programme (also a joint venture with BHP Billiton) is undergoing a re-evaluation of accumulated geophysical data while in Sierra Leone both Petra and 49% joint venture partner Mano River have carried out sampling that indicates the potential for high grades. Diamond recovery commenced in June 2006 and by the end of November 224 diamonds at 23.91 carats had been recovered. Shaft sinking is underway with full-scale production scheduled for 2007 with a long term potential over 100,000 carats per annum.

If all of these projects come to fruition, therefore, it is conceivable that Petra could be producing over half a million carats per annum in 2010, along with a beneficiation programme that should further enhance earnings.

R88AVE

Thanks for digging out this promising info, now wait to see what the New Year brings and perhaps some direct news from Petra.

Ray A I am pretty excited with the developments so far looks like 2007 will be an interesting one especially when the full scope on Angola project findings are completed. This project could be worth billions alone, hence BHP Billiton JV budget $60m into the project gives the taste of expected revenue in return.

Long 151, the charts is looking ready to rise again, fairly big volume in past two days.

A whole year without a single blog, sp right in the dip now !

This must be the cheapest Diamond company in the world, profits going forward look fantastic, must be due for a rise as they say that the power cuts are not affecting them, I took a position this morning just before the last rise, hope I got this right !

FDI rocketing this morning, hope this one does the same !

Cannot believe the drop here...beggars belief (as so to speak) !

Still dropping....diamonds not in favour any more ?

Hello, hello....what spiked this up along with impressive volume today then?

Hey up has the bull woken up today then?
Look like good bullish reversal trend is in the making imo.

Well, well, well,....3 holes in the ground...!, this has woken up at long last....another undervalued stock !.

Anybody, any idea why the rocket like rise in the past few days....? takeover rumour ?, If I was one of the majors ...this would be in the line of fire !.

Petra Diamonds swings to annual profit
MoneyAM
Petra Diamonds Ltd moved to an annual profit after it bought South African mines from De Beers, it said today.

The miner posted a net profit after tax for the year to end June of $1.9m from a loss of $20.9m the previous fiscal year.

The firm said the main reason for the turnaround in profit was the contribution from the Koffiefontein mine it bought from De Beers.

'The success at Koffiefontein clearly demonstrates our distinctive ability to turn such mines to account, and we look forward to achieving similar results at these acquisitions,' Chairman Adonis Pouroulis said in a statement.

The other mines it has purchased from the world's largest diamond producer, Cullinan and the Kimberley underground operations in South Africa and Williamson in Tanzania, will come on stream this financial year, it said.

The company boosted output 11% to 200,287 carats and expected a huge increase during the current year.

'Fivefold production increase expected to over 1 million carats for FY 2009 with the new mines coming on stream,' it said.

The firm also announced a major increase in its resource base, jumping to 265 million carats, worth $27.3bn, from 11.38 million carats worth $1.9bn about a year ago.

Petra posted a 352% increase in revenue to $76.9m and EBITDA (earnings before interest, tax, depreciation and amortisation) of $25.5m versus a loss of $5.2m last year.

The firm said it had a good start to the current fiscal year, receiving attributable revenue of $14.8m from its first tender, comprising sales from eight weeks of production at Koffiefontein and its fissure mines, as well as the first four weeks of production at Cullinan.

Are SAAD lining up a takeover, at what price??, or just investing.


The Company was notified today that following recent purchases Saad Investments Company Limited now holds 70,155,430 ordinary shares in the Company, representing approximately 38.1% of the Company's ordinary issued share capital.

Petra Diamonds Limited is a Bermuda registered company and as such is not subject to the Takeover Code and accordingly there is no obligation for a mandatory offer under the Rules of the Takeover Code by any shareholder increasing their holding above 30% of the Company's issued share capital.