Petra
Diamonds Limited
(Petra
or
the
Company)
Entry
into long-term Power Purchase Agreements for renewable energy
procurement
Petra
announces that it has entered into long-term Power Purchase
Agreements (PPAs)
for the procurement of wheeled renewable energy for its
Cullinan and Finsch Diamond Mines
from Etana Energy, a licenced South African energy trader. The PPAs
will supply each operation between 36-72% of the expected load
requirement from FY2026 onwards through utilising the existing
electrical grid.
This
represents a milestone for Petra's sustainability ambitions,
enabling Petra to fulfil its target of reducing scope 1 and 2 GHG
emissions by 35-40% by 2030 (against its 2019 base line) well ahead
of time. In addition to reducing the Company's carbon footprint,
the portion of the energy sourced from Etana will contribute to
predictable energy costs and is expected to result in sustainable
cost savings over the term of the PPAs. The Company remains
committed to generating zero emissions on a net basis for scope 1
and 2 by 2050, with an ambition to achieve this by 2040.
Etana
provides cost-competitive clean energy from new large-scale
renewable energy projects through wheeling over the existing South
African grid. It has a portfolio of multiple ready-to-build and
grid-secured wind and solar projects that are expected to come
online over the course of 2025 and 2026. Etana's wind-heavy
portfolio enables greater consistency of renewable energy supply
around the clock, resulting in enhanced cost savings and
environmental benefits.
Richard Duffy, Chief Executive of Petra Diamonds,
commented:
"These
agreements align with Petra's renewable strategy and exemplify the
Company's continued integration of its sustainability ambitions in
everything we do. This will result in a considerable reduction of
our GHG emissions, well ahead of our 2030 target, and will further
strengthen the sustainability credentials of our diamonds. We
consider this to be an important facet, alongside the traceability
and provenance of our diamonds, in differentiating Petra's product
offering. Furthermore, as part of our ongoing efforts to reduce our
cost base, the tariff secured is expected to lead to sustained
reduction in our energy supply costs which will further reduce
fixed costs at our South African operations.
These
agreements with Etana also demonstrate how Petra creates shared
value through partnerships and we look forward to embarking on this
long-term collaboration with them."
Reyburn Hendricks, Director of Etana Energy
commented:
"We
are delighted to announce these agreements with Petra Diamonds,
which shares our commitment to driving sustainability. This
represents a key step towards fulfilling our mission of
accelerating the rollout of new renewable energy capacity in SA in
a way that creates value for our customers and has a positive
impact on the country and our planet."
FURTHER
INFORMATION
Please
contact
Investor
Relations, London
Patrick Pittaway
Telephone:
+44 20 7494 8203
Julia Stone investorrelations@petradiamonds.com
Kelsey Traynor
ABOUT
PETRA DIAMONDS
Petra
Diamonds is a leading independent diamond mining group and a
supplier of gem quality rough diamonds to the international market.
The Company's portfolio incorporates interests in three underground
mines in South Africa (Cullinan
Mine, Finsch and Koffiefontein) and one open pit mine in
Tanzania (Williamson). The
Koffiefontein mine is currently on care and maintenance in
preparation for a possible sale following the execution of a
definitive sales agreement as announced on 8
April 2024.
Petra's
strategy is to focus on value rather than volume production by
optimising recoveries from its high-quality asset base in order to
maximise their efficiency and profitability. The Group has a
significant resource base which supports the potential for
long-life operations.
Petra
strives to conduct all operations according to the highest ethical
standards and only operates in countries which are members of the
Kimberley Process. The Company aims to generate tangible value for
each of its stakeholders, thereby contributing to the
socio-economic development of its host countries and supporting
long-term sustainable operations to the benefit of its employees,
partners and communities.
Petra is
quoted with a premium listing on the Main Market of the London
Stock Exchange under the ticker 'PDL'. The Company's loan notes due
in 2026 are listed on the Irish Stock Exchange and admitted to
trading on the Global Exchange Market. For more information, visit
www.petradiamonds.com.
