Duffy's resignation comes as softening diamond prices have hit Petra diamond's liquidity. During the six months to December 2024, group net debt increased to $215m (R3.96bn) up from $193m (R3.56bn) in the six months to June 2024, the company said.
To cushion the impact of lower prices, in January the group the group issued section 189 at its Cullinan mine in Pretoria and the Finsch mine in the Northern Cape that affected 200 employees.
The company also sold the Koffiefontein Mine in October 2024, enabling Petra to avoid closure costs of up to $18m (R331.8m). The company last month announced the sale of its interest in Tanzania’s Williamson Diamonds to Pink Diamonds Investments for $16m (R294.9m) reducing exposure to political uncertainty.
The group said it has “sustainably reduced its mining and processing costs from continuing operations by 19% and capital expenditure by 32% from the first half of 2024”. Revenue was lower by $49m (R903.1m) year-on-year largely due to $50m (R921.6m) of additional revenue from tenders in 2023 being carried over to the first half of 2024.
The group said as a result of cost reductions, cash preservation measures and cash flow from operations increased to $55m (R1.01bn) from $34m (R626.7m) in the first half of 2024.
TimesLIVE
Petra Diamonds CEO Richard Duffy quits amid high debt
Senior Reporter
Image: 123RF/MAKSIM SHBEKO
London-listed Petra Diamonds has announced the resignation of CEO Richard Duffy as debt soared and the company tackled rising cost pressures during the six months ended December amid a weak diamond market.
The company said Duffy resigned as CEO and company director by mutual agreement and with immediate effect. It appointed chief restructuring officer Vivek Gadodia and operations executive at Cullinan Mine Juan Kemp as joint interim CEOs.
Gadodia will be responsible for group corporate matters and Kemp will head group operational matters, and both will report to the board and lead Petra's executive committee, said Petra. “At this point they will not be appointed as directors,” said the company.
José Manuel Vargas, Petra's chair, said: “On behalf of the board I thank Richard for his hard work and dedication as CEO since he joined Petra in 2019. We wish Richard all the best for the future.”
Duffy said: “It's been an honour and a privilege to serve Petra for the past almost six years. I would like to thank the Petra team and my fellow directors and wish Petra every success.”
Duffy's resignation comes as softening diamond prices have hit Petra diamond's liquidity. During the six months to December 2024, group net debt increased to $215m (R3.96bn) up from $193m (R3.56bn) in the six months to June 2024, the company said.
To cushion the impact of lower prices, in January the group the group issued section 189 at its Cullinan mine in Pretoria and the Finsch mine in the Northern Cape that affected 200 employees.
The company also sold the Koffiefontein Mine in October 2024, enabling Petra to avoid closure costs of up to $18m (R331.8m). The company last month announced the sale of its interest in Tanzania’s Williamson Diamonds to Pink Diamonds Investments for $16m (R294.9m) reducing exposure to political uncertainty.
The group said it has “sustainably reduced its mining and processing costs from continuing operations by 19% and capital expenditure by 32% from the first half of 2024”. Revenue was lower by $49m (R903.1m) year-on-year largely due to $50m (R921.6m) of additional revenue from tenders in 2023 being carried over to the first half of 2024.
The group said as a result of cost reductions, cash preservation measures and cash flow from operations increased to $55m (R1.01bn) from $34m (R626.7m) in the first half of 2024.
TimesLIVE
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