WILLIAMSON mine diamond sales have increased by 48 per cent thanks to production raise in the third quarter of 2017/2018 year. According to a financial statement 92,759 carats were sold from the mine located in Shinyanga Region in the Q3 up from 62,572 carats in a corresponding quarter in 2017.
The soaring sales pushed up revenue by 57 per cent to 23.1 million US dollars to 14.8 million US dollars. In the quarter under review, Williamson mine's diamond production increased 40 per cent to 72,063 carats up from 51,402 carats in Q3 in 2017.
The "mine continuing to deliver on its production plan" despite the operation being impacted by liquidity constraints, the report said. The liquidity challenge was due to the blocked 71,000 carat parcel and overdue VAT receivables of 15 million US dollars. Petra's Chief Executive Johan Dippenaar said they recorded strong results in both production and sales in Q3.
"... The future focus of the company will move away from volume targets to value optimisation. "... Risks to performance continue to relate to increased volatility in the exchange rate,... as well as the outlook for Williamson and the blocked diamond parcel." Last year, the government through Tanzania Revenue Authority (TRA) confiscated the parcel with 71,654 carats from the Williamson mine.
However, Williamson, revenue registered a negative nine-per cent growth to 41.6 million the first nine months from 45.4 million in similar period last year. While, the revenue grow at decreasing pace the sales increased by 5.0 per cent to 172,204 carats from 163,284 carats.
Meanwhile, Petra production went up 20 per cent to 1,194,947 carats in Q3 from 999,768 carats in Q3 last year representing record quarterly production for the Group.
Also in the said quarter Group revenue up 44 per cent to 172 million US dollars to 1,373,771 carats sold from 119.1 million US dollars from 1,069,886 carats sold in Q3 2017.