Petra Diamonds aims to be cash flow positive in the second half of the year and will then be able to consider future developments.African miner Petra Diamonds’ , which has high debt levels, aims to be cash flow positive in the second half of the year and will then be able to consider future developments, its new chief executive said on Monday.
The company’s share price has fallen 55% since the start of the year as weak diamond prices weighed and Petra grapples with debt following years of capital expenditure to upgrade its mines. On Monday the company reported lower output in the quarter ended on March 31, as an upgrade of operations at one of its mines fell behind schedule, but also said it sees signs that diamond prices are recovering.
CEO Richard Duffy, who took office at the start of the month, said his short-term focus was “on stabilising the operations as we transition from a stage of high capital investment".