Petra, BEE partner conclude sale of KEM JV stake to Ekapa Mining

By Marleny Arnoldi      / December 05, 2018 / www.miningweekly.com / Article Link

LSE-listed Petra Diamonds on Wednesday announced the completion of the sale of its and its black economic empowerment partner’s 75.9% interest in the Kimberley Ekapa Mining joint venture (KEM JV) for R300-million to JV partner Ekapa Mining.

The KEM JV incorporates the Kimberley underground mine, extensive tailings retreatment programmes and the high-volume central treatment plant, which are all located in or around the historic diamond mining centre of Kimberley, in South Africa’s Northern Cape province.

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Ekapa will take on all the financial, employee, environmental, health, safety and social obligations with regard to the KEM JV operation.

"The completion of the disposal is in line with [Petra’s] strategic priorities, which include the ongoing review of the asset portfolio in order to maximise return on capital and ensure that all assets are in a position to contribute positive cash flow to the business,” Petra said in a statement.

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Petra recorded an attributable loss on discontinued operations of $104.3-million for the financial year ended June 30, relating to the reclassification of KEM JV as a discontinued operation.